15 Oct Scams to look out for in a car insurance
Like many other industries, the insurance industry has had its fair share of deceptions over the years. Being a massive industry, it is worth noting that most of the scams have been related to car insurance. Although there is a vast number of reliable insurance companies, it is better to be careful.
It is easy to fall victim to the many insurance scams and, in most cases, even fail to know it. Most of the scams get well planned and coordinated with unsuspecting drivers drawn into the evil plans.
Here are a few auto insurance scams to look out for;
Soft tissue scam
Car insurance companies often fall prey to this kind of scam. It involves someone claiming to have been in an auto accident and sustained neck or back injuries. They fake these kinds of injuries because of the nature of their diagnosis, as it won’t reveal that they are lying.
Although this scam directly involves the insurance company, it still will affect you if you are a subscriber to their services. The higher the amount of money insurance companies pay to their customers, the higher the premiums paid by their members.
There are lots of fake insurance agents putting up ads to swindle car owners. They can also acquire your number and email to contact you telling you about their insurance offers. Mostly, you can feel that their deals are too good to be true.
It is vital to do enough background checks on any company and their policy before subscribing to their services. Besides, you can check out the validity of their license from the insurance regulator in your state.
Crash for cash
It is one of the most prevalent scams you can ever go through as a driver. The planners will drive in front of your car, hoping you will take your eyes off the road for a second. Once you do, they will slow down or stop altogether, making sure there is not enough time for you to react.
Since the state laws will be against you for hitting another car on the rear end, they are confident that they will get some money from this scam. You can avoid such scams by allowing enough safe distance between you and the immediate car. Besides, always be aware of the traffic on that road to be mindful of when to stop.
Car insurance scams are becoming popular every day. It is good to be careful not to fall prey to the planners by being vigilant on the road. With the tips in this article and helpful websites like Money Expert car insurance, you can prepare to counter such scams efficiently and not fall prey.