How to Fight Insurance Fraud

Insurance fraud can happen anywhere and anytime.

The filing of false claims, faking injuries to get compensation, claiming business or commercial vehicles as

person vehicles, not documenting all drivers of a vehicle, and even lying concerning a residence are all types of auto

insurance fraud.

Types of Insurance Fraud

Getting lower premiums due to misrepresented information claimed as fact is considered insurance fraud in most states.

Every year, thousands of people are convicted of insurance fraud in the US.

New Jersey's Commissioner Kobylowski claim, "When people commit insurance fraud, it costs all New Jersey

drivers.

" This can be true for every other state as well.

The National Insurance Crime Bureau reports that on average, insurance fraud increases premiums by $200-$300

a year.

In New Jersey, specifically, some individuals have up to $250,000 in benefits per accident while some states limit

coverage to only $5,000-$10,000.

While this is good for someone honestly involved in a car accident and is injured because of it, it also leads people to

try and game the system.

If you are one of those people actually injured in an auto accident, beware of situations where you might be taken

advantage of.

The Costs of Insurance Fraud

Some sources of auto insurance fraud are medical services that are billed to you, but never provided, unnecessary

medical services or procedures, and billing more than usual for certain medical procedures.

There are also numerous ways that insurance fraud cons use their vehicle, such as false hit and runs where they

claim you hit their vehicle, when it was actually pre-existing damage to your vehicle.

Many of the ways that insurance fraud can rope you in involve how close you are to their vehicle.

Ways to Prevent Insurance Fraud

Although it may require you to pay more attention to your driving habits, keeping your distance and observing your surroundings is one of the best preventative measures

when it comes to auto insurance fraud.

Another option is to install a dash cam to capture anything that might occur while driving.

These cameras can be set to turn on and record only when you are driving, and are ready at a moments notice to

provide the evidence necessary to prove your innocence in the event you are involved in an accident.