Auto Insurance Fraud Is Something That Drivers Need To Watch Out For
Auto insurance fraud is becoming a huge problem across the country. Many people are getting taken advantage of because they get talked into things. There are fraudulent car insurance agents out there who want to use scams to get money from drivers. The scams are relatively simple but they are happening in many states on both coasts.
It is the law in most states that drivers have to be insured. With so many people having to pinch pennies, this has created an environment where people can get hustled because they want to get the cheapest auto insurance rates possible.
It is important for all drivers to make sure that they are not being scammed when they purchase car insurance coverage. For starters, it pays to do your homework and get some insurance quotes before you sign on the dotted line. If a car insurance agent is quoting you a premium rate that is a lot lower than their competitors’ then you probably are being scammed.
Make sure to inquire with your state’s insurance agency to see if the insurance agent and company that are selling you the car insurance policy is legitimate. Companies need to be licensed in the state where you live in order to sell you car insurance coverage. If they are not licensed then the insurance policy probably is a scam.
One man bought car insurance coverage from a company and three months later he was involved in a collision. He found out later that the company was a scam and that he was technically uninsured and was not only breaking the law but had no coverage so he had to pay over $25,000 for the damages that occurred due to the car accident.
If a car insurance agent sends you a letter or comes to your door then you need to make sure that you read over any materials that you are given in order to see if all of the information is accurate.
If you have purchased a car insurance policy from an agent then you should receive the insurance coverage identification card within three to five business days. If you are not mailed a card then you might have been a victim of an insurance fraud scam. If you have been taken advantage of then you can contact your state’s insurance commission and file a complaint. These fraud scams are everywhere so you need to take action to protect yourself.
