Reader’s Question:

How can I avoid purchasing fraudulent auto insurance?

Spencer

Chicago IL

There are probably hundreds of fraudulent auto insurance companies in the market right now all over the US. These auto insurance companies may attract you easily because of their promises of extraordinarily low prices like special prices that last for limited-time only. As a consumer, you can protect yourself by having some basic knowledge about these auto insurance scams. You can follow some tips on what to look for in order to avoid becoming a victim of fraudulent car insurance.

When applying with one of the major insurance providers, make sure that the company is using their exact name spelled correctly. Scammers often try tricking customers into thinking their applying with a legitimate company because they have very similar sounding names (i.e. Geicko instead of Geico).

Be suspicious of any company that says they will accept all applicants no matter what their driving history or past claims were. While there may be actual car insurance providers that make offers similar to these, fraudulent companies will try their best to get your attention even offering you the most impossible thing as well as to lure drivers that were rejected by other major companies.

If you’re searching for car insurance online, make sure the website leads to a completely legitimate company. The insurance company should also be able to provide you an actual physical address, as well as a real phone number or some other way to contact them other than just e-mail. Many scammers will send advertisements and auto insurance offers by e-mail, phone, and postal mail.

Before applying with an insurance company, conduct some research. It shouldn’t be hard for you to find some financial ratings and customer reviews if it’s a real insurance provider.