Insurance fraud is quite common all over the world,
including Australia. It is estimated that every year over a hundred billion
dollars is being wasted every year due to insurance fraud. Insurance fraud can
in many forms. The scam can happen in the process of selling, using, buying, or
underwriting insurance. Insurance fraud is also being committed in all types of
insurance but the most common types of fraud happens in auto insurance,
worker’s compensation insurance and health insurance.
One of the most common types of insurance fraud in auto
insurance industry is the fake insurance companies. The fraudulent insurance
agent scams caravan and auto owners by collecting premiums for non-existent
insurance policy with no ability or intention to pay claims. These fake
insurance companies will usually offer you lower caravan insurance quotes in Mandurah. You have to be extra cautious when dealing with
insurance agents and insurance companies.
Here are some warning signs that you have to lookout, as they are the common
indicator of a fake insurance company.
1.
Premiums are too low.
If is too good to be true, perhaps it is. If the insurance
agent is offering you caravan insurance quotes that is 15% to 20% lower than other companies, you
need to be cautious. Scammers will woo with discounts and very low premium
stating that you will save a lot of money if you will insure your caravan with
them. Do a research before you sign and give away your hard earned dollars.
2.
Aggressive insurance agents.
Fast talking and aggressive agent are one of the sign that
you need to watch out. If a broker or an agent is very aggressive and pressures
you by saying that you must sign up for the policy immediately because it is
the last day of the discounted premium promo, or the premium will significantly
increase by next week, be wary. This is one of the oldest tricks of the fraud
insurance brokers and agents.
3.
Check the contact details.
Ask for the company’s contact as well as the agent contact
details. Check carefully if the company’s contact details are current. Is the
telephone number working? Do they have a website or an official email? If their
official email is gmail or yahoomail you have to be wary.
It is wise to be vigilant. Be cautious. Protect yourself and
your property from the fraudulent insurance brokers and companies.
