How to Avoid Auto Insurance Fraud? It is not always necessary that a vehicle is involved in an accident in order to determine the validity of any claim. It is also not necessary for an uninsured motorist to have been in fault in order for there to be a valid auto insurance claim against him. Even the most basic, most common sense software systems can be susceptible to fraudulent claims, if they are not thoroughly tested or implemented properly.
Most of the current automobile insurance billing and coding software systems are susceptible to being hacked into remotely, from anywhere in the world. Not only are these software systems open to hacking by unscrupulous telemarketers, but they can also be compromised by criminals who may infiltrate a company’s computer system with malicious intent. As is the case with any other type of computer network, the majority of insurance company IT staffs are highly skilled and well trained in the use of Internet and computer “warfare” tools to protect their company network from such attacks. Unfortunately, there are a limited number of qualified individuals who have this skill.
How to Avoid Auto Insurance Fraud? In many states, it is a requirement that all motor vehicle insurance contracts be signed in person at a local office. This is one of the best ways that an insurance company can ensure that its customers’ personal information is protected during the transaction. If an online form is used instead, many insurance companies run the risk of losing a potential customer simply because the form was intercepted and not completed as directed. Many auto insurance fraudsters will use an Internet scam to get personal details from potential customers, including social security numbers, credit card numbers, bank account information and even sometimes their home addresses.
How to Avoid Auto Insurance Fraud? Another way that auto insurance fraudsters may try to get information from potential victims is to set up bogus auto insurance claim forums on the Internet. By using social networking Web sites and other Internet tools to create a presence, many people can easily establish online forums where they can ask questions, post feedback and receive feedback in return. Legitimate brokers may encourage customers to post their feedback on the forum, but when it comes to actual requests for compensation – such as filing a car accident claim – fraudsters will use Internet “bait” to get people to respond to their scams.
How to Avoid Auto Insurance Fraud? For anyone considering purchasing car insurance online, it’s especially important that they do their research ahead of time. All major insurers now offer Web sites that consumers can use to request free quotes, and many also provide a toll-free hot line for customer support. A legitimate auto insurance company will always have this number available. Consumers should never give out sensitive information over the phone or use a fake telephone number.
How to Avoid Auto Insurance Fraud? Consumers looking to purchase auto insurance on the web need to be very wary of any company that asks for personal information in order to apply for a policy or place a new order. Any website that tries to sell car insurance is simply using sophisticated trickery to get consumers to part with their financial information. There are no exceptions to this rule, so if an insurance site makes you provide your social security number, driver’s license number, etc., do not provide it to them.
How to Avoid Auto Insurance Fraud? By taking your time to research the companies you’re interested in doing business with, you’ll find that the majority of them are legitimate and honest. But once you’ve decided on a particular car insurance provider, you must make sure that the company itself does not have a well-known history of fraud. Any company worth doing business with will have a website that includes information about themselves and their history of settling fraudulent claims. If a company does not have such information, pass on the opportunity to invest in their services.
How to Avoid Auto Insurance Fraud? It is important that you know what to look for in a car insurance company. Do not put your financial information at risk by trusting an online auto quote website. Also, investigate any company that you come across that appears to be non-professional. As you can see, avoiding auto insurance fraud starts with avoiding websites that do not offer up to date quotes from reputable companies.