Car Insurance Fraud - Don't Be a Victim

It's the age old trick- falsely claiming on insurance to get your hands on some cash. Recently, Royal & Sunalliance have published figures that over 22,000 fraudulent claims have been made to car insurance companies, and that the number will keep increasing until the fraudsters are caught. The problem is that 41% of drivers aren't aware of car insurance fraud, therefore are not prepared for it when it happens. Insurance fraud is so common that there has been a bureau made for insurers (Insurance Fraud Bureau) to try and combat this problem.

There are several types of car insurance crime that drivers need to be aware of. The most common type of scam is 'the panic stop'. This occurs when the car in front of you will slam on the brakes (usually for no apparent reason), causing you to crash into the rear of their car. The driver will then claim on your insurance for the damages to their car and any injuries-whether real or fake- they might have acquired as a result o f the accident. Another technique popularly used is 'the helpful driver'. The helpful driver will allow you the right of way when attempting to merge into busy traffic, and then purposely collide with you as you speed up. Later, when claiming off your insurance they will deny that they signalled to let you through. Most car insurance fraudsters will work in groups of people and will be extremely hard to spot.

Even though you can never be fully prepared for an incident such as those listed, there are things you can do afterwards to prevent the scammers from ripping you off. After a collision, make sure you make a mental note of the driver and whether he looks injured, and whether there is anyone else in the car. There have been cases where the scammer will claim there was another person in the car that was injured, when in reality the driver was the only one in the car. If someone is injured, make sure you ring the police or emergency services, that way you can prove th e extent of their injuries, and will stop them from having the chance to over exaggerate to their doctors. Also, take photos of the any damages made to their car. Often, when little damage has been made the fraudster will take the car to a different location and damage the car further to be able to claim more money. By taking photos, even with your camera phone, will prove the amount of damage that has been made.

Make sure that you take out car insurance with a reputable insurer. You can get a good car insurance quote by searching the market on the internet. Cheap car insurance isn't hard to come by when you get a good idea of the market. Compare car insurance to make sure you get the best possible deal.

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