Staged Auto Accidents and Insurance Fraud

ByTom Ando

Insurance fraud is an increasing problem nationwide costing companies over $70 billion a year. There are many reports of fraudulent insurance claims and staged auto accidents resulting in insurance providers in increasing car insurance premiums for drivers. The rising cost on premiums might seem unfair; however insurance companies need to cover the huge losses due to insurance fraud.

There have been increasing incidents where dishonest drivers will maneuver and cause innocent drivers to be involved in car accidents. Most of the time the accidents seem minor, but dishonest drivers will make all kinds of illegal claims including fake injuries and exaggerated car damage in order to collect more money.

These are some of the most common scams to keep in mind:

· Sideswipe. If you are driving in an inner lane and turning, be careful of dual left turns, where dishonest drivers will ram you on purpose if you drift into the outer lane while turning.

· Swoop and Squat. Usually involves two or more cars where crooks box in a victim's car while a third vehicle suddenly merges in front and jams on the brakes in order to cause a rear-end collision.

· Shady Helpers. A stranger may approach you after you have had an honest auto accident. The stranger may seem friendly while trying to help and convince you to use a certain shop for car repairs, or seek medical treatment from a specific doctor. This may be a setup as the car shop and doctor may provide you with inadequate service while trying to bill your insurance company fraudulently.

It is important to be wary of these schemes and to be on the lookout for potential trouble. Victims of will face increasing premiums, life disrupting claim settlements, police reports, lawyers, and even lawsuits. Costly claims can cause a good record to be blemished resulting in increasing premiums and potential policy cancellations. In worst case scenarios victims may suffer serious bodily injury or even death.

Things you can do to protect yourself from :

· Do not tailgate.If you allow yourself to have extra room in front of you, it will decrease your chances of being involved in a rear-end collision if the lead car has to stop abruptly.

· Pay attention. Keep a lookout for cars in front of you as well as in the back of you. Drive defensively if you are surrounded by aggressive drivers.

· Pull Over. A good way to avoid any accidents is to allow drivers who tailgate you to pass.

To avoid being a victim of car insurance fraud and staged auto accidents it is important to practice safe driving techniques by being a defensive driver. Remember to always stay alert by minimizing distractions such as cell phones while driving.

Article Source:http://EzineArticles.com/?expert=Tom_Ando

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Insurance: Car-Auto
Tom Ando

Email Address:SubscribeCar Auto Article FeedFind More ArticlesSearchRecent ArticlesHow To Choose The Best Car Insurance DealRental Car InsuranceIn Depth Look: Pay As You DriveHigh Risk Car Insurance TipsAuto Insurance Laws And RequirementsLiability Insurance And Financial ResponsibilityThe Best Motor Trade Insurance Policies Are Up for Grabs Right Now!How to Get Cheap Auto InsuranceFacts About Car Rental InsuranceArizona Car Insurance - A Good Deal Isn't Hard to FindSubmitted On February 28, 2012. Viewed 2 times. Word count: 465.

MLA Style Citation:
Ando, Tom".".28 Feb. 2012EzineArticles.com.4 Mar. 2012 .APA Style Citation:
Ando, T. (2012, February 28). . Retrieved March 4, 2012, from http://ezinearticles.com/?Staged-­Auto-­Accidents-­and-­Insurance-­Fraud&id=6909691Chicago Style Citation:
Ando, Tom "." EzineArticles.com. http://ezinearticles.com/?Staged-­Auto-­Accidents-­and-­Insurance-­Fraud&id=6909691EzineArticles.com© 2012 EzineArticles.com
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