What is insurance fraud? Did you know that March has been deemed “Fraud Prevention Month?” I wanted to remind all drivers that they can help to fight auto insurance fraud. Unfortunately, people do abuse the auto insurance system, and oftentimes the insurance companies raise premiums as a result of faulty claims. There are ways to tackle this problem. It’s important to use a licensed insurance company, agent, or broker when purchasing auto insurance. Go with someone you can trust. Talk or meet them first and see if you feel like it’s a good fit for you or not.
What can you do?
The FSCO offers valuable information and a list of licensed insurance companies and agents in Ontario. If you don’t know where to start; this is a great place. Suppose you are unfortunately in an accident. There are also steps you can take to help avoid any insurance fraud being committed:
- Gather as much information as possible at the accident scene. If possible, take pictures.
- Get the contact information of other drivers, their driver’s license numbers, their license plate numbers, and insurance information. If possible, take a picture of the information they give you.
- Once your medical needs have been met, immediately file an accident report with the Police or if in a minor collision; the Collision Reporting Centre. You need to make sure that the accident has been legally reported.
- Ensure that you receive detailed repair bills and review them carefully.
If you suspect that someone is involved in insurance fraud, please report it to the police. This is a problem that affects us all.
Who suffers from insurance fraud?
As a personal injury lawyer, I feel very strongly about the abuse of auto insurance. There are people in accidents every day who need to be able to access much-needed funds. When insurance fraud takes place, it makes it more difficult for people to access the funds that need it. I also feel that auto insurance rates are so high already and we need to access even more to protect ourselves. If the insurance companies weren’t raising the rates, more and more people could afford the much-needed extra coverage. Most people feel the same as I do and the percentage of people who actually commit insurance fraud is low, I’m sure. If we could reduce it, even more, that would be great.
