Car Insurance Fraud

Car amends Fraud Are pack salaried too much for their machinemobile damages polity indemnity policy? Kentuckys indemnification rates argon higher(prenominal) in Kentucky as debate to other places and still rising referable to so many an(prenominal) quite a little committing amends dupery. The elans that Kentuckys population commits insurance policy drool are plentiful and creative. genius suit of insurance fraud is purchasing railroad car insurance and after receiving the produce of insurance locoweedceling the policy. Another type of fraud involves staging accidents so that a mortal can work the insurance club, and eventually terrorizing their hold vehicle to stash away insurance money, just to figure a hardly a(prenominal). One type of insurance fraud that occurs often is people purchase car insurance and then cancels the policy so they can cause a proof of insurance. Caywood awayers this opinion, They grass the market and find w here they c an make the least bolt down throwment because they let no intention of making other buckle underment(1). Therefore, the frank people must(prenominal) pay higher rates to make up the difference. The honest people pay higher rates for membership fees and periodic bills to make up for the money lost due to fraud. Since a few(prenominal) people in the state insure their cars, we are presumable to rob up the tab for those people when they are obscure in gondola accidents. throng are likely to do almost anything when trying to get an insurance company to pick up the tab. An insurance adjuster at Kentucky Farm chest of dr perplexityrs express People stage accidents several different ways, such(prenominal) as waiting at an intersection and hitting an trustful someone in the side of meat while having witnesses waiting to swear the other person ran a red-light or cave in sign. Others get in confront of someone, wait until they follow on too close, and then stop quick ly causing the person behind them to rear o! ddity them. (Holbrook 1) This is why he said, some Kentuckians pay more for auto insurance(Holbrook 2). The honest people pay for the dishonest mistakes. why would people risk their lives, as well as an blameless persons life, to hear insurance money? One case that the insurance adjuster recalled from his previous job in Lexington was when this man staged an auto accident. He said, Some money hungry man waited at an intersection for someone to total through that looked like a good sucker, and rammed the side of his car. He had people with him so they could be his witnesses, but the car he chose to hit was carrying a trey-year-old chela who was killed. His mother had failed to gag him up. The mans witnesses felt up guilty and confessed to the crime. The man went to prison for 5 years and was released on probation (Holbrook 5). This shocked me because the child was three years old, that man should egest his life in prison thinking about the child that he killed. He should p ass faced maximum penalisation for this crime. Another point brought to creation attention by a Kentucky Farm Bureau insurance adjuster was that There are people who terrorize their own vehicles by vandalism and claiming things were stolen that were not, to collect insurance money.

Very few get caught(Holbrook 3). That leaves paying customers prop the tab. He also said They sometimes set their vehicles on fire, collect the money, leftfield pay off the old one and patronage for a youngfangled car(Holbrook4). After hearing this I thought to myself it must be nice to pay off your old vehicle, buy a new car, and probably h ave money left to pay for insurance again. I am not c! ondoning this. I am just in awe of their nerve. They fraud the company and come out with a new car. I shin to be honest and pay my way like everyone else should do. In conclusion, these are just a few reasons that our auto insurance rates are higher here in Kentucky. restitution crooks are much smarter than we have disposed(p) them credit for. They apparently hit the sack what they are doing to keep acquiring away with their crimes. We affect to remind insurance holders about fraud and enforce the laws meet it. When fraud is suspected the claim should not be gainful until it is investigated. This allow alarm crooks and let them know that fraud will no longer be tolerated. organize Cited Caywood, Thomas. Agents Frustrated by Insurance Reform. New siege of Orleans City handicraft 18.48 (1998) MasterFILE Premier. Article 700070. 23 Apr. 2002. http://www.hazcc.kctcs.net/library/ Holbrook, Jim. Interview. Insurance Fraud. 23 Apr. 2002. If you want to get a full essay, revise it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper