Everyone loves a good deal but when it comes to buying your auto insurance, the lowest price may end up costing you more than you bargained for. Increasingly common fraud involves in the sale of cheap auto insurance or two to unexpected consumers.
The con artists get potential customers by advertising rock-bottom auto insurance prices and tricking the consumers into paying to fake insurance coverage. It is not until the customers are involved in an auto accident or stop by the police and charge by driving without auto insurance coverage. Then that is the only time the consumer will find out they do not have a valid auto insurance coverage.
If you don’t have a valid auto insurance and you were injured in an auto accident, you may not be entitled to receive certain benefits. More importantly if you were to be at fault for the accident caused with injuries or death. You may hold personally responsible for his or her medical expenses and other losses.
When shopping for a new auto insurance coverage makes sure to be aware of potential red flags can help you falling into a scam.
Do not pay for referral fee, licensed agents and brokers don’t charge for any fees. Do not pay your insurance premium through wire transfer services. This is not a practice in the auto insurance industry. Check to make sure that you’re dealing with a license insurance representative. The list of licensed insurance representative companies and agents are available on the Financial Services Commissions of Ontario website. www.FSCO.gov.on.ca
To help consumers form auto insurance scams the Financial Services Commissions of Ontario websiteoffer consumer helpful tips on how to avoid auto insurance scam.
People will have to realize how much they can lose if they are involved in an auto accident and did not have a valid auto insurance policy. Remember driving without valid auto insurance, even on purpose is illegal. It is your responsibility to ensure that you have valid auto insurance purchased from a licensed agent, broker or an auto insurance company.
If you suspect fraudulent activity in your purchase of your auto insurance, contact the police.