The Texas Department of Insurance (TDI) Fraud Unit reported that its investigations led to $50.9 million in court-ordered restitution for insurance fraud victims during fiscal year 2025.
TDI stated that more than 20 investigators across Texas examined 314 cases of suspected insurance fraud. The process involved reviewing financial records and interviewing both suspects and victims before passing the cases to TDI attorneys for prosecution. Courts issued penalties including prison sentences, fines, and restitution payments to compensate victims.
One notable case involved former Houston insurance agent Mark Davis Lunsford, who was sentenced to prison, fined $10,000, and ordered to pay restitution after selling fake insurance policies and stealing over $318,000 in premiums from clients.
“Restitution is just one way to repair the financial harm of insurance fraud,“ said Chris Davis, who leads TDI’s Fraud Unit.
The public can report suspected insurance fraud online or by calling TDI’s Help Line at 800-252-3439.
