February 25, 2011

Why Auto Insurance Fraud Will Never Pay Off For Drivers

If you watch popular crime shows on television, it always shows you that the good guys triumph over people that have broken the law. It is not one specific thing that gives the person away, but numerous actions. The same is true in real life. Auto insurance fraud is one the rise. Not because more people are actually performing the actions, but simply because they are getting caught. When those that decide to commit fraud request auto insurance quotes they normally request the highest payout at the cheapest price. It is also a recent event. Unfortunately, it never pays off in the way that they intended.

Modern technology is a marvel not only in the medical field, but in forensic science as well. People are trained to become experts to detect auto insurance fraud. Specialized equipment can determine how the car was damaged, who was driving, and what speed the car was going. There are many people that investigate the accident. Only a few commit the crime. Eventually the truth of what happens is revealed. Criminals do not stand a chance.

An investigation happens on every accident regardless of fraud. All parties are questioned and spoken with by the claims agent and supporting staff. If the stories do not match up or evidence is found that contradicts the statements given the person becomes a suspect for fraud.

Your previous past history and driving record is also noted. If you have a regular occurrence of car accidents, a pattern is noted. Not only will the person lose their insurance coverage, but they could end up in jail. Most people that commit auto insurance fraud have done so in the past.

Desperation sometimes makes people takes actions that are wrong. When you get auto insurance quotes and sign up for coverage you provide you identification. This provides the carrier the ability to look up your financial credit status. If it is poor and you have debt problems such as foreclosure, or past due car payments this will show your true actions. The motive most people have for car fraud is for financial gain.

Suspicious activity is always noticed. If you just recently purchased insurance and had a total car loss this raises a warning signal to the car insurance company. If the amount of coverage is great and the car was recently purchased or not of a high value it makes the person appear to be guilty.

Crime never pays off. Even if that was the original intention of the person committing auto insurance fraud. The unexpected always happens. They can never guarantee the outcome. People sometimes get hurt, or killed trying to attain monetary rewards.