Insurance Companies Can Easily Spot Fraudulent Insurance Claims

Fraudulent Insurance Claims Are Easily Spotted

Spotting fraudulent insurance claims is an important job for most insurance companies. The mounting losses from false and fraudulent insurance claims reported by customers can reach into the billions of dollars each year. Money lost from fraudulent insurance claims comes directly out of the insurance companies’ coffers and results in an overall insurance cost increase for honest customers. Many people mistakenly think that they can get away with filing a false claim, but the insurance industry watches claims meticulously. Insurance companies in the United States watch for suspicious indicators in order to help them prevent losses from fraudulent insurance claims cases. For example, an insurance company may conduct additional investigations before paying out a suspicious claim if the policyholder has a high debt … Read more

Does Bad Credit Affect Car Insurance Premiums?

Does Bad Credit Affect Car Insurance Premiums?

For years car insurance companies have used your credit history in order to help them determine the likelihood that you will file a claim on your car insurance. According to studies like the one conducted by the industry group, the Insurance Information Institute, drivers with low credit scores tend to file 40% more insurance claims with their car insurance companies. It is estimated that those with poor credit scores can find themselves paying anywhere between 20% and 50% more for insurance than someone with better credit. How Much Does Bad Credit Affect Car Insurance? No one knows for sure how bad credit affects car insurance premiums for individuals. That is because car insurance companies keep it a secret. While most experts … Read more