There are many different kinds of fraud associated with motor vehicles. Although consumers are typically more concerned with used car fraud or auto repair fraud in California than they are with auto insurance fraud, insurance schemes also have the potential to affect the wallets of consumers. A recent article from insurancejournal.com reported that a 56-year-old San Jose man was arrested for auto insurance fraud and faces criminal charges for filing a counterfeit motor vehicle claim, perjury, and falsely reporting a crime.
According to the story, this particular man went as far as reporting his “stolen” vehicle to the San Jose Police Department and filed a stolen vehicle claim with his insurance company. Sentry Insurance suspected the claim was fraudulent and reported the incident to the Department of Insurance. An investigation conducted by the California Department of Insurance (CDI) discovered that before the man reported his vehicle to be stolen, he purportedly tried to use the car as collateral for a loan. This incident serves as an important reminder that although our economy is struggling, turning to fraudulent actions is not a solution and there is no excuse for such behavior.
Based on the article, the California Department of Insurance received approximately 300 more vehicle theft and arson claims in 2008 than 2007. For consumers who really have had their vehicles stolen, fraudulent cases do nothing more than make the recovery process that much more difficult.
As the number of auto insurance fraud cases has increased, it is our hope as consumer advocates at the Law Offices of Howard D. Silver, that incidents of used car fraud and auto repair fraud do not increase. As consumers look for the best deals on used cars and auto repair in less than stellar financial times, it is important that they remember to be cautious of being mislead or lied to by auto dealers or auto repair shops.
If you suspect that you have been a victim of such fraudulent actions, please contact Howard D. Silver for a free consultation. Mr. Silver has dedicated many years to helping those who have been cheated out of money by auto repair shops or used car sellers. Call the Law Offices of Howard D. Silver today for a free consultation at (855) 341-2611.