If you have a vehicle and a phone, you are most likely to receive messages and calls from frauds portraying themselves as someone from a car dealership or insurance company you know. Their sales pitch will be about your car’s extended warranty or insurance renewal. Their offers will be irresistible and may seem too lucrative than what you normally get from a dealership or an insurance company. In these situations, most people do not use their common sense, fall for the frauds, and lose their hard-earned money. If you want to avoid the Automobile Warranty and Insurance Scams, there are some red flags to watch out for, which are mentioned in this content.
Common Car Insurance Scams to Avoid
Even if you drive your vehicle safely on the road, on an unlucky day, you may face a minor accident and may think that insurance will pay out the damage. However, little do you know that the fake insurance companies often resort to sinister strategies to avoid your payout? Such automobile warranty and insurance scams are familiar, and you need to watch out for them so you don’t fall into these loopholes.
Planned Accidents
Drivers might arrange a collision on their own or with another individual. Rear-end accidents, parking lot incidents, left turn yield crashes, and friendly waves indicating that it is okay to pull onto a street are frequently staged accidents. These preplanned accidents are very common in fault states since the insurance usually covers the damages no matter who does it. Thus, it gets easier for the scammers to cover their damages with your insurance money, which means you unknowingly are entangled in car insurance scams.
What You Can Do To Avoid Them
Be more vigilant while driving, check your side mirrors always and see if anyone is trying to overtake you, and look for suspicious cars following you or waiting sideways. They aim to get ahead and break, so you ram into them. Even if you cannot avoid the accident, you can get a detailed report from the police proving you are not at fault. Do not purchase car insurance policies from random insurance companies to avoid automobile warranty and insurance scams.
Extended Car Warranty Scams Are the Worst
It is the shadiest scam often pulled off by fake dealerships and car repair shops in every part of the world. Automobile scam brokers can easily fool anyone into buying these extended warranties, and it is that simple. Extended warranties are offered by some insurance companies and used automobile dealers. They last beyond the manufacturer’s guarantee. It is advertised as a useful product for older or less dependable autos. Expect numerous calls from warranty providers pressuring you to prolong your coverage, whether or not you purchase an extended warranty.
But most drivers do not even need to use these because they drive carefully on the road, and scammers know it. It would help if you declined offers from suspected telemarketers and spam calls to avoid automobile warranty and insurance scams in the first place. If you find these scammers persistent, report them to the authorities.
