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Most often we hear about the insurance frauds concerning personal auto insurance policies, but sometimes the things are not good with the commercial vehicles as well. Seems like, the idea of tricking a provider does not only cross certain criminals’ minds, but the business administration decides to act like this as well.
According to the report presented by a newspaper in Algeria, El-Khabar, insurance companies in the country faced 190 cases of insurance falsifications on commercial policies just in the first half of 2008.
Since the businesses have to pay auto insurance of the vehicles they use, they don’t want just to waste the money and they make plans to have it back. So, they report to the providers about the car accidents in order to have some of the investment back.
In total these false claims cost about 45 million Algerian dinars, which is about $744,000.
A case about auto insurance fraud was brought to the end a few days ago in Essex County, Massachusetts. 7 people were accused in creating fake accidents and documents for them and getting money from insurance companies.
In 2004 some insurance companies in Washington got several claims about car accidents that looked very suspicious. Safeco, Farmers Insurance and State Farm insurance companies called upon California Department of Insurance to find out more about the cases.
The prices are rising on all the different products. People panic about gas prices, but in fact even food gets more expensive. No wonder car insurance providers start thinking about the same.
The state of Kentucky has passed a law according to which the vehicle owners have to have their car insurance cards with them when they are renewing their auto license plates.