July 9, 2010

How Auto Insurance Fraud Is Found Out After Accidents

People often complain about the high dollar nature of auto insurance quotes and for good reason, they are often a lot to pay. The reason for these high dollar amounts does have something to do with a lot of auto accidents that are paid for the right reasons. However, insurance fraud drives up auto insurance quotes everyday by making insurance companies deal with the effects. Determining how auto insurance fraud is found out after accidents could help you and your insurance company avoid costly insurance fraud.

You, the individual who is at the scene after an auto accident, will be a very important cog in determining if insurance fraud is possible in your accident. Being very aware of what is happening around you after an auto accident happens will help the insurance company know what to investigate. Take down names, insurance policy numbers and vehicle information after an auto accident so the insurance company has all of the right information to investigate.

Rest assured that your auto insurance quotes go up because auto insurance companies have created their own special investigation groups to investigate insurance fraud. These groups are trained and developed by the insurance company so they have a vested interest in uncovering any fraud that may exist. Insurance companies will use reports made by police officers at the scene and, just as important, the statements of all parties that were present after the accident occurred.

After all of this information is gathered, the insurance company will check the information against a few databases that insurance companies share. All insurance companies input information that is shared among all insurance companies about the frequency of accidents reported by individuals. If these reports show that an individual has filed a high volume of claims in the recent past, the investigation will only become more intense on the people that are involved.

The federal and state governments have also helped with insurance fraud investigations by making insurance fraud a felony offense. Remember, people who are an accessory to insurance fraud are also breaking the law. Government officials have a vested interest in making sure that the public has a right to affordable auto insurance and insurance fraud runs counter to that.

If you feel like there are things about your auto accident that seem unusual then don't hesitate to report it to your insurance company. Auto insurance companies will never discount your feelings as they know the prevalence of auto insurance fraud on a daily basis. Protect your auto insurance quotes and those of the public around you by being aware of insurance fraud.