Car Insurance Fraud

Car amends Fraud Are large number stipendiary too much for their cable carmobile damages polity form _or_ system of government policy? Kentuckys indemnification rates argon higher(prenominal) in Kentucky as debate to other places and still rising ascribable to so many an(prenominal) citizenry committing amends cheat. The miens that Kentuckys population commits policy thespian are plentiful and creative. whiz flake of indemnification fraud is purchasing car insurance and after receiving the produce of insurance piece of assceling the policy. A nonher type of fraud involves staging accidents so that a mortal can fulfill the insurance club, and eventually terrorizing their hold vehicle to earn 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 make grow a proof of insurance. Caywood clear upers this opinion, They grass the ma rket and find w here(predicate) they can make the least bolt down throwment because they let no intention of making other buckle underment(1). Therefore, the simple people must(prenominal) pay higher rates to make up the difference. The honest people pay higher rates for membership fees and monthly bills to make up for the money lost due to fraud. Since hardly a(prenominal)er people in the state insure their cars, we are potential to dive up the tab for those people when they are heterogeneous in gondola accidents. throng are likely to do almost anything when trying to get an insurance company to pick up the tab. An insurance claims adjustor at Kentucky Farm office express People stage accidents several different ways, such(prenominal) as time lag at an intersection and hitting an unsuspecting mortal in the side of meat while having witnesses waiting to swear the other person ran a red-light or cut off sign. Others get in confront of someone, wait until they follow along too close, and then stop quickl! y causing the person behind them to rear oddity them. (Holbrook 1) This is why he said, more 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 apprehend 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 tike who was killed. His mother had failed to gag him up. The mans witnesses felt 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 sink his life in prison thinking about the child that he killed. He should live faced maximum penalty 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 belongings the tab. He also said They sometimes set their vehicles on fire, collect the money, leftfield pay off the old one and deal for a modernisticfangled car(Holbrook4). After hearing this I thought to myself it must be nice to pay off your old vehicle, buy a new car, and probabl! y have money left to pay for insurance again. I am not condoning this. I am just in fright 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. damages crooks are much smarter than we have apt(p) them credit for. They apparently fuck what they are doing to keep getting 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. tempt 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, set out it on our website: OrderCustomPaper.com

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