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Home›Insurance›Industry & Deals›GEICO sues Miami clinics over alleged $1.35M false no-…

GEICO sues Miami clinics over alleged $1.35M false no-fault claims

GEICO says the clinics billed no-fault services built on a physician listed as medical director at three locations, even as Florida law requires a real director to validate staff licensing and billing.

GEICO and three affiliated GEICO carriers have filed a lawsuit accusing a group of Miami personal injury protection, or PIP, clinics of long-running billing fraud tied to no-fault claims totaling more than $1.35 million, according to Insurance Business.

The complaint, filed in US District Court for the Southern District of Florida on August 17, 2026, names three clinics, A&Y Rehabilitation Medical Center, New World Health, and Rehab & Therapy Wellness of South Florida, along with their owners and a physician GEICO says was listed as medical director at all three.

GEICO alleges the clinics billed thousands of PIP charges for exams, physical therapy, and nerve-stimulation treatments starting no later than 2021, with examples including claims crediting the physician with more than 30 hours of services on a single day, November 24, 2023.

Central to the insurer's theory is Florida's Health Care Clinic Act, which GEICO says requires a real medical director who checks billing for fraud and confirms staff licensing; without that role, the complaint argues clinic charges are noncompensable and unenforceable, and GEICO also alleges that hands-on therapy was performed by workers it says were massage therapists, physical therapist assistants, and unlicensed staff where certain services were not eligible under Florida's no-fault law.

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