Types Of Car Insurance Fraud
Car insurance fraud has been around for a hundred of year now, even back in Greece where insurance started it all. When the ship's owners would purposely hit other ships or sink their own ship to collect money from their insurance policy. Car insurance fraud occurs when uninsured and insured drivers try to stage an accident so that they can collect money to the victim's insurance company. Today, there are many kinds of car insurance fraud, such as the intentional brake slam, the swoop and squat.
Intentional brake slam is when a driver drives in front of another car and purposely hits the break forcing the other car to slam into them. On the part of the insurance company of the victim, this will look like it was the drivers' fault, thus the driver who did not cause the accident will have to pay for all the expenses. Many insurance companies are aware of these incidents and are wise of whom to give out the money to. Insurance companies will be forming their own investigations regarding the accidents to make sure that is was not staged or fraudulent.
With swoop and squat, there are a lot of participants on the scam. Two of the vehicles in a three-car accident have criminal drivers. The squat driver positions the car in from of the victim, while the swoop car driver passes in front of the squat driver which causes the driver to slam on the brakes, causing the victim driver behind them to crash in to the rear of the squat drivers. The swoop and squat is a dangerous thing to do since it may result into a fatal injury both to the victim and to the criminal drivers. Many criminal drivers think that the faster the victim is going, the more damage will be done. But they aren't thinking of the consequences.
Side swipe is another type of car insurance fraud. It is performed during busy intersections that have dual left turn lanes. The victim's car will drift into the outer lane, and the criminal will eventually side sweep him. The criminal driver will ensure that the accident will happen in a busy intersection for the side sweep to work.
Another is the panic stop. It is when the criminal drives an old model car with many passengers. But there will be a person to look out in the rear window who will give a sign to do the panic stop when he sees that there is a car behind them. As soon as the car behind them is distracted, either by answering a phone call or turning on the radio, the person at the back of the car will give a signal to hit the break immediately thus causing the distracted victim to collide into the criminals car.
There are other types of car insurance fraud that some insurance company doesn't recognize. For you who is an honest man, be wary of these things and if case you are involved in an accident similar to these situations, have the insurance provider conduct an investigation.