State RegulationsCO specificDifficulty 3/5
An employee of a Colorado insurer reports the employee's good-faith suspicion of insurance fraud to law enforcement. What protection does C.R.S. § 10-1-128 provide?
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Answer & full 3-part explanation (select an option above, or peek)
Why C is correct
C.R.S. § 10-1-128 grants immunity from liability to persons who report suspected insurance fraud in good faith, which encourages employees and others to use the anti-fraud reporting channels the statute requires insurers to maintain. The statute also keeps anti-fraud plans proprietary, so they are not public records.
Why the other options are wrong
- A) Immunity does not depend on advance approval from the insurer's anti-fraud plan.
- B) The protection attaches to good-faith reporting itself; a later conviction of the suspect is irrelevant.
- D) Anonymity is not a condition of immunity under the statute.
Memory hook
Report in good faith and the statute has your back.