Fake Car Insurance for Sale

It’s bad enough the amount of money we pay for real insurance let alone finding out we’ve paid for a fake car insurance policy.

Be wary of agents that sell fake car insurance.

Nobody likes to be scammed, especially when it comes to fake car insurance. Paying for fake car insurance not only steals money from your pocket, it also leaves you with gaps in your insurance coverage that can leave you subject to fines and penalties from the state. Not to mention that these gaps in coverage also can increase your insurance premium when you do end up with real insurance coverage.

Protect Yourself from Fake Insurance Agents

There are a number of things you can do to protect yourself from being scammed by a fake insurance agent. First, never buy from someone that calls you on the phone selling insurance. Second, never purchase insurance from anyone selling insurance door to door. Finally, never purchase insurance from someone that refuses to show you their agent license when you request to see it, because it is not hanging on their wall.

What to Look For with Fake Car Insurance

Recently a fraudulent insurance agent was caught in Michigan because there were spelling errors in the insurance documentation they provided to their victims (insurancejournal.com). Because real insurance companies hire professionals to proofread their documents you won’t find spelling errors in them.

Other ways you can tell you have fake car insurance:

• The phone number for the insurance company on your insurance cards is disconnected.
• The address for your insurance company is not in the United States.
• Your original insurance cards look like duplicates when you get them in the mail.
• You are not given temporary or permanent proof of insurance cards when you purchase your insurance.
• The address on your insurance papers is not yours.
• You are not given a receipt for the insurance premium you paid for the policy.

Reporting Fake Car Insurance

If you find out that you have been the victim of insurance fraud, you need to report the situation to the correct entities. First, report it to the Insurance Commissioner or Department of Insurance in your state. They can verify if the person that sold you insurance has a license to do so, or even if there is already an ongoing investigation.

You will also want to report the scam to the police and keep a copy of the policy report; you will need this report later down the road.

Recovering from Fake Car Insurance

Once you find out you have been a victim of a fake car insurance scam, you need to talk to your bank about any payments you made to the fake agent or any automatic withdrawals you set up with them. You don’t want them to get any more money than they already have from you.

Keep verification of all bank account changes or cancelled payments that you had to conduct through your bank because of this incident. If you can, get letters from the bank stating why you requested the actions. Also keep every report you make to the police and the insurance authorities in your state in regards to the incident, as well as the fake car insurance documents you have from the fake agent.

Be proactive and talk to the DMV about the incident in order to prevent being fined and having your vehicle registration and driver’s license suspended.

Immediately get new insurance coverage with a legitimate insurance agent. Unfortunately, you are going to need to plead your case with the new insurance company as to why there is a gap in your legitimate insurance coverage. If you provide the verification that you have reported the scam to the insurance authorities and the police, most insurance companies will understand and won’t penalize you for being a victim of a fake car insurance scam.