| This kind of theft is occurring in automobile repair centers, medical clinics, law offices and at your next door neighbor's house. Often white-collar criminals, including doctors and lawyers, have the quickest hands and generate the largest cash flow from unsuspecting Insurance Companies. |
The crime is Insurance Fraud
Insurance Bureaus estimate that Insurance Fraud involves about 15% of Insurance Claims, which is thought to be a conservative estimate by Special Investigation Units which investigate insurance fraud.
That estimate does not take into account the exaggerated claims which have come to be an accepted practice in North American Society. How many friends, family members and acquaintances do you know who have stretched the truth when submitting an insurance claim? Perhaps you have even convinced yourself that it is acceptable to exaggerate. An exaggeration is paramount to a lie; a lie is an intent to deceive and that constitutes a fraud.
Most Individuals never consider the consequences of Insurance Fraud or exaggeration, but what if a diligent Adjuster decides to question and investigate your Claim? An Insurance Claim can be denied if you misstate a fact, exaggerate or attempt to commit a fraud. If your claim isn't worth all that much you may not suffer a huge consequence, but if your Claim is worth thousands of dollars what would the consequence be then? You will probably lose your entire claim, and you may be denied insurance in the future as a result of having a denied insurance claim. Insurance Companies do not want to sell insurance to fraudsters.
Have you ever wondered why your Insurance rates continue to increase even though you have not made a claim? Of course, the events of September 11 and various natural disasters in the last few years have certainly contributed, but by and large fraud has a big impact on the rate increase of Insurance Policies worldwide, and it is you, the Policy Holder, who is helping to pay for the fraud that is a common occurrence in the Insurance Industry.
Some Drivers are paying exorbitant premiums for car insurance due to the number of accidents in which they are found to be at fault. But when the premiums are more than they can afford to pay some of these Drivers choose to drive without insurance and when they are involved in additional accidents without insurance coverage, YOU will end up paying for the uninsured motorist.