Staged Accidents

According to a report from the National Insurance Crime Bureau, the number of staged car insurance claims has risen in recent years. This always seems to be the case when nationwide economic hardship is on the rise. Questionable claims are up 46% from 2007 through 2009.

While New York is usually the state with the highest amount of fraudulent insurance claims, this time it is not isolated to our little corner of the world. In fact, fraud is up significantly nationwide and other countries as well.  The Insurance Bureau of Canada estimates that insurance fraud is now costing policy holders and insurance companies billions.

Insurance fraud can be a serious issue that raises rates for everyone  and some states are aiming to battle the bulge.

Everyone’s auto premiums rise because insurance companies have to pass the costs of bogus claims onto their policyholders, don’t forget, they are a business and need to make money. If wholesale prices rise, retailers like grocery stores pass that cost down to the consumer. So don’t blame your insurance company for rate increases. Another reason why premiums can go up because of fraud is because each year insurance companies spend millions of dollars guarding themselves against misleading car accident claims. Not just any accident, but a carefully orchestrated and scripted accident where you become the victim of a scheme to dupe your insurance company out of thousands of dollars. Often these accidents are staged by organized crime rings that bilk hundreds of unsuspecting drivers. In NY taxi drivers have some of the highest insurance coverage requirements and subsequently the highest premiums. That cost gets passed down to the passenger and voila, you cant take a taxi anywhere with paying through the nose now.

If you think you’ve witnessed a scam or are being scammed, contact you insurance provider immediately. Insurance companies and state insurance departments have SIU’s (special investigation units) set up specifically to combat insurance fraud.

Hudson Valley Agents is an insurance agency that has helped battle insurance fraud many times over the last twenty two years, and also offers some of the most competitive low cost NY insurance rates available.

Finding The Right Commercial Auto Policy

Finding a good deal on commercial auto insurance is about more than finding the lowest rate, it’s about finding the best all around coverage to suit your company’s needs.
Understanding what coverages and service options are available is the first step toward making better, more informed decisions so that you and your business are properly protected. Here are some tips from the experts at Progressive to help you find the right coverage, service and price:

• Know the company you’re dealing with—and its reputation for handling claims. Understand that you may pay more for “cheaper” coverage in the long run if the company lacks experience handling commercial auto claims. In business, vehicles need to be on the road or you lose money. Insurance companies that don’t specialize in NY commercial auto insurance often don’t have their own claims representatives handling the process, so it may take longer to get vehicles back in service.
• Look for discounts. Before initiating a quote for a policy, gather your company’s loss and financial records. This information could help you save a lot of money. You may qualify for NY insurance discounts if you’ve carried increased liability limits in the past, if your employee base consists of experienced drivers or if your company’s credit rating is good.
• Don’t let your coverage lapse. Proof of prior insurance is important, so never let your insurance policy lapse. If you do, you will most certainly pay more for your next policy.
• Ask for referrals. Find out where colleagues in your business have found the best coverage and the best service. They may be able to refer you to an agent or company that really understands your business.
• Check driving records before hiring. If they’ll be driving a company vehicle, be sure to screen the Motor Vehicle Report (MVR) for every potential hire.
• Update the value of your equipment. If you’ve added, upgraded or phased out equipment, you’ll want your policy to reflect the true value of your fleet. This ensures you have adequate coverage where you need it and that you’re not paying for cover-age you no longer need.
• Check the options for managing your policy. See if you can handle routine tasks online and over the phone instead of having to visit an agency or mail in forms. It saves time—and in business, time is money.