Car owners claimed a bear trashed their Rolls-Royce. Insurers say it was fraud involving a person in a bear suit.

Investigators found a bear suit in the suspects’ home.

Four Californians said a bear damaged their luxury car, but insurers have accused them of insurance fraud involving someone dressed in a bear costume.

The California Department of Insurance said in a press release Wednesday that four Los Angeles-area residents — Ruben Tamrazian, Ararat Chirkinian, Vahe Muradkhanyan, and Alfiya Zuckerman — had been charged with insurance fraud and conspiracy.

The department said the suspects claimed in January that a bear had entered and damaged their 2010 Rolls-Royce Ghost, a vehicle that typically sells for about $100,000 used, while it was parked in Lake Arrowhead, California.

They provided video footage to their insurance company, purportedly showing a bear entering the vehicle.

Images of the interior showed scratches on the leather seats and on the doors, which looked like claw marks.

However, CDI investigators determined that the “bear” in the footage was actually a person wearing a bear costume, the press release said.

It added that detectives also uncovered two additional insurance claims involving a 2015 Mercedes G63 AMG and a 2022 Mercedes E350, with the suspects submitting similar evidence to substantiate those claims.

The CDI said the department sought advice from a California Department of Fish and Wildlife biologist, who reviewed the footage and concluded that it showed a person in a bear costume.

A search warrant led detectives to a bear costume in the suspects’ home, according to the CDI.

The CDI said insurance companies were defrauded out of $141,839. The San Bernardino County District Attorney’s Office is prosecuting the case.

Insurance fraud is a major issue in the US. According to the Coalition Against Insurance Fraud, it costs the country over $300 billion annually.

Schemes involving car payouts are on the rise in California, New York, and Florida, Mark Friedlander, a spokesperson for the Insurance Information Institute, told Fox Business last month.

Friedlander said these kinds of accidents, which often involve staged car crashes, are costing insurers tens of billions and are adding hundreds of dollars to insurance premiums.

According to the US Bureau of Labor Statistics, the cost of motor vehicle insurance in US cities is up about 14% in 2024, from the previous year.