TORONTO, March 4, 2014 /CNW/ – Swoop and squat. Drive down. Imaginary accidents. These are just some of the car insurance scams that criminals commit to rip off insurers and sincere Canadians.
As Fraud Prevention Month rolls out across the country in March, Insurance coverage Bureau of Canada (IBC) urges the public to support crack down on “the staged vehicle accident organization” by reporting suspected insurance coverage fraud.
All Canadians spend for car insurance fraud. In Ontario alone, such fraud adds an estimated $ one.6 billion a year to insurance coverage premiums and well being care, emergency solutions and court costs. Insurance coverage criminals get cash proper out of our pockets – when they cheat, we all shell out.
“Automobile insurance coverage fraud is costly, threatens the safety and safety of drivers, cheats honest policyholders and erodes self-confidence in the insurance sector,” says Rick Dubin, IBC’;s Vice-President of Investigative Providers. “Car insurance fraud is frequently the work of organized groups who steal autos for sale to unsuspecting buyers or stage collisions and then file fraudulent damage claims. Or it is the perform of unscrupulous automobile body outlets that intentionally cause added damage to autos they are repairing or the work of health care clinics that bill insurers for solutions that were never rendered. But fraud also contains otherwise law-abiding citizens who pad a legitimate declare,” he adds.
Dubin heads up IBC’;s national investigative crew that focuses on organized crime rings, especially individuals concerned in automobile theft or fraudulent injury and accident advantage claims. IBC also partners with law enforcement, government companies and insurance coverage firms across the nation to determine, investigate and prosecute suspected insurance crime to bring criminals to justice.
Identify fraud – observe for:
- Staged collisions: A driver intentionally triggers a collision by targeting an innocent driver, then can make it search as if the innocent driver is at fault for the collision. The initial driver then files false car insurance claims to gather generous accident rewards. Click on the link for examples of staged collisions: http://getintheknow.ibc.ca/Site/2013/March-2013/Staged-Collisions-kinds-and-suggestions.aspx
- Unscrupulous car fix stores: This crime requires a repair shop intentionally creating injury to a automobile that has been in an accident.
- False healthcare claims: In this scam, health care clinics inquire claimants to sign blank accident benefit kinds (i.e., assessment and remedy ideas). The clinics then forge the signatures of respectable medical practitioners, include false info about the claimant’;s treatment method and bill insurers for solutions in no way rendered.
- Dishonest men and women: These individuals adjust the car identification variety (VIN) on a car that has been stolen or previously damaged to hide its history, then privately sell the vehicle to an unsuspecting buyer. One particular way to safeguard yourself is to acquire a historical past on the automobile Identification quantity through Carfax or Carproof as well as possessing it inspected by a great mechanic. IBC suggests acquiring a automobile from a reputable dealership.
- Fake car theft: An person arranges for his or her vehicle to be stolen, then makes a declare for the stolen automobile.
- Padding claims: This occurs when a generally law-abiding man or woman sees an opportunity to make a few added dollars by exaggerating injuries as component of an otherwise respectable insurance claim.
To steer clear of a staged collision:
- Never tailgate let ample time to stop if the driver ahead of you suddenly jams on its brakes.
- Seem beyond the auto in front of you even though driving. Apply your brakes if you see visitors slowing.
If you are involved in a collision:
- Quickly report it to your insurance representative, who will be ready to recommend a reputable automobile physique repair facility that will give quality repairs.
- If you suspect the collision may possibly have been staged, instantly report the incident to the police and your insurance organization. You ought to also call IBC’;s toll-cost-free Tips Line at one-877-IBC-Suggestions.
If you go to a healthcare clinic for therapy right after a collision:
Report exaggerated claims, staged automobile collisions and other crimes associated to insurance coverage by calling IBC’;s anonymous, toll-totally free Ideas Line at 1-877-IBC-Ideas (422-8477) or submit a tip at www.ibc.ca below Report Insurance Crime. IBC investigators take all guidelines significantly, no matter how large or tiny.
About Insurance coverage Bureau of Canada
Insurance coverage Bureau of Canada (IBC) is pleased to celebrate 50 many years as a useful resource for insurance details. Because 1964, IBC has been doing work with governments across Canada to make communities safer, championing issues that directly have an effect on Canadians and the house and casualty (P&C) insurance sector. IBC is the nationwide business association representing Canada’;s private home, vehicle and company insurers. Its member companies represent 90% of the P&C insurance coverage market in Canada. The P&C insurance coverage sector employs in excess of 118,600 Canadians, pays far more than $ 7 billion in taxes to the federal, provincial and municipal governments, and has a total premium base of $ 46 billion.
To view media releases and other data, visit the media part of IBC’;s website at www.ibc.ca. Follow IBC on Twitter @InsuranceBureau or like us on Facebook.
Source Insurance Bureau of Canada