Don’t become another victim of insurance fraud. There are millions of victims all over the world every year, and fraudsters make off with billions of dollars in stolen money. If you think about it, we all are hurt when someone else commits this malicious type of fraud, because insurance rates inevitably must climb to respond to the rising risks of fraud. We’ll offer a few brief tips here to help you avoid insurance fraud.
First, be aware that a typical insurance scam will look legitimate at first, but will slyly take your money away without covering you in the event of a real insurance-related loss.
Also, don’t be gullible! Check out an insurance company thoroughly before you decide that you trust it enough to buy insurance coverage from it. Ask the Better Business Bureau or A.M. Best, both recognized ratings bureaus, to provide you with information about the insurance company’s industry ratings.Finally, use your resources to fight insurance crime. The Coalition Against Insurance Fraud was started in 1993 to respond to the growing economic threat of insurance scams. At the time, the CAIF was America’s only anti-fraud organization that could act in behalf of large organizations as well as private consumers. CAIF has helped the federal and state governments crack down legally on fraudulent insurance providers through strict anti-fraud laws and regulations.
Thanks to the CAIF, it is now a serious crime to recruit people into buying fake insurance. Also, state anti-fraud bureaus have been put in place to combat the spread of and ultimately prevent this heinous insurance crime.
