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Staged auto accidents represent a serious form of fraud where one or more drivers intentionally cause a collision to file a fraudulent insurance claim. The FBI reports that these fraudulent activities cost the insurance industry over $20 billion annually. These expenses eventually trickle down to honest drivers through increased insurance premiums. Continue reading to discover commonly staged auto accident schemes and learn effective strategies to safeguard yourself against this fraud.
Common Staged Auto Accident Scams
The "Drive Down" Scam
This scam occurs when you're trying to merge into traffic, and another driver signals for you to proceed. As you begin to merge, the driver crashes into your vehicle. Afterward, the driver will deny signaling and claim you merged without looking.
The "Swoop and Squat" Scam
In this scenario, one "squat" vehicle drives beside you while another vehicle suddenly "swoops" in front of you, causing you to rear-end them. Passengers in the "swoop" vehicle then file false injury claims with your insurance, supported by passengers in the "squat" vehicle.
The "T-Bone" Scam
This scam occurs at intersections. As you cross, a car from a side street accelerates and hits your vehicle. The driver and planted "witnesses" then claim you ran a red light or stop sign when the police arrived.
The "Panic Stop" Scam
Here, a car filled with passengers pulls out in front of you. The passengers watch you until you appear distracted, then instruct the driver to slam on the brakes, causing you to rear-end them. You are left responsible for the damage.
The "Sideswipe" Scam
This typically happens at busy intersections with dual left-turn lanes. The scammer positions their vehicle across from you in the outer lane, then sideswipes you as you drift from the inner lane, making it look like your fault.
How to Protect Yourself from Staged Auto Accidents
To mitigate the risk of staged auto accidents, practice defensive driving always. Avoid tailgating, as it provides opportunities for fraudsters to stage accidents.
If an accident occurs, immediately call the police. Be cautious of unsolicited tow trucks arriving at the scene, as they might be scammers. Obtain a copy of the police report and document the accident by taking photos and videos. Write down details about the vehicles, drivers, and passengers involved. Ensure you collect contact and insurance information from all parties.
After the accident, immediately contact your insurance agent to file a claim. Only seek assistance from trusted medical, vehicle repair, and legal professionals.
By staying informed and vigilant, you can protect yourself from staged auto accident fraud and avoid unnecessary expenses. For more guidance on managing driving risks and finding comprehensive auto insurance solutions, contact us today at 909.466.7876!
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