Staying Alert For Auto Insurance Frauds
The most important thing we’d like to see you take from this auto insurance article is having an awareness of the depth and great lengths people (and criminal organizations) will go to scam insurance companies for money. All involving innocent people.
Insurance Scammers Are Smarter Than You Think
If you feel like you are victim of an insurance scam accident, first thing to do is call 911. Take pictures of the other passengers and make note of who is in the car at the time of the accident. Take pictures of the damage and who was driving and note exactly what happened, along with getting all license plate numbers involved. Beware of “witnesses” at the scene.
See if you can find a witness you feel is totally neutral in the situation and get their information. Don’t settle with cash at the scene. You can call the special investigations unit of your insurance company and tell them you think you are being scammed in an insurance fraud plot.
There are some very entertaining YouTube video fail compilations of people trying to scam insurance companies. Just search for “auto insurance scams”. We prefer not to post any here, because most of them have offensive language, however, here’s a video by ABC News that shows scammers in action:
Protect Yourself From Auto Insurance Scams
We recommend you watch some of these videos on YouTube of people staging a crime involving innocent drivers trying to scam insurance companies for money. The reason we’re posting this is so you’ll have an awareness of the lengths desperate people and illegal organized enterprises will go to scam insurance companies for money. In the cases where there are organized criminal enterprises, (that are extreme menaces to our society), these scammers drive up all of our prices that we pay for insurance. Unfortunately, not all scammers are caught, so this drives the price up for all of us.
Insurance fraud is a very serious crime. In Nevada, insurance fraud is a category D Felony, the prison sentence ranges from 1-4 years, also a fine up to $5000, and possible court costs. The person convicted of this could also be required to make payment to the State of Nevada for money spent investigating the case.
Additional examples of insurance fraud are exaggerating the damage to your car, damaging your own car and claiming it as an accident, pretending your car was stolen, lying on your application for auto insurance, faking injuries, etc.
Let Nevada Insurance Enrollment Guide You
By having a licensed auto insurance agent, you can rest assured all of your insurance needs will be met. We will always communicate any actions/changes that take place on your policy. Don’t hesitate to call us any time for assistance!
Recent Posts
Rental Reimbursement vs. K4 or K5 Coverage
Rental reimbursement would reimburse you for either your daily rental charges or your policy limit, whichever is less. It can be used after any covered collision or comprehensive loss (assuming you carry collision and comprehensive coverage). K4 and K5 coverage can also help with post-accident “loss-of-use” costs.
Insuring and Preparing a Teenage Driver
Statistically speaking, young drivers are the riskiest group on the road. Studies have shown that they’re more likely to exhibit dangerous behavior like speeding or texting while behind the wheel.
How Does My Auto Insurance Company Make Its Profit?
Have you ever wondered how an auto insurance company stays in business? They make money because they sell a product that people are legally required to purchase. The average person pays around $900 a year for auto insurance but it’s nothing compared to how much a single car accident can cost.