Car insurance coverage scams: Singaporean chauffeur dealing with $42,000 claim informs us why he’s a victim

Checking out the rise of car insurance coverage fraud claims in the news must be bittersweet to many drivers who were victims of such distributes. More than a few of us (consisting of one MoneySmart staff member!) have been in situations where we have actually had our suspicions about the real nature of a car mishap that we have actually been included in.We talked to one motorist, Wilson, who showed us the details of a current accident along the PIE. This is his story as stated to us:

My scenario is a little distinct because of the nature of my work. I had exchanged vehicles with a buddy due to his vehicle needing some automobile maintenance. I run a car workshop and was bringing his cars and truck in, and so my good friend was supposed to bring my vehicle, a Honda Jazz, back to me. This was when the accident took place and this was what was recounted to me.My buddy had actually left his office in Tuas early to return the cars and truck and he was driving along the PIE to Changi back in December 2016, when he was included in a chain accident involving 4 cars and trucks and 1 motorbike. It was about 3.45 pm at the time of the accident. My automobile was the last of the four cars and trucks, however a motorbike behind couldn’t drop in time and clashed into my vehicle, technically making it the last car in the accident.Immediately, he saw two

guys approaching the accident site. The car they remained in was not involved in the mishap, but they were handing out name cards to the other motorists of the damaged vehicles. They were offering to assist with their repair work, and were overheard stating things like, “Men don’t stress, your insurance wont be affected, that Jazz is the last vehicle. I will assist you with your repair work.” Photo: MoneySmart My friend found it very suspicious that they seemed to be isolating us from the conversation. He had approached among the two males to get a name card and was declined one.On our part, we spoke to the chauffeur of the very first car, and they declared that they had actually struck the brakes because the vehicle in front of them had

done so also. It turns out that this was the cars and truck that the two men remained in. As both my buddy and I are familiar with the vehicle market, his suspicions were at an all-time high, and we wondered if the first cars and truck was targeted because it had no in-car camera, or if it was because the chauffeur was young and female, or both.Or possibly the female motorist was likewise in cahoots with the 2 males, since she took the 2 guys up on their deal and entrusted to them. When my friend attempted to take a photo of one of the men who had actually stepped out of the first car, he yelled,”Do not take my photo, I am NOT involved in this accident!” Which led all of us to think-if you are not involved, why did you come out? To assist? To distribute name cards? This was all a very strange mix of events.But here’s the “finest”part: when the Traffic Police marshalls came and spoke with my pal, among them commented, “Appears like the same individuals over and over once again. And this area doesn’t have traffic monitoring cameras. “Thankfully, while the damage to

my vehicle was comprehensive, it was shallow. There was no damage to the engine or the chassis. I got it repaired and handled to offer it 6 months later.However, my insurance coverage business is still combating my case. There was a$42,000 claim against my policy. They include 2 medical claims and 1 automobile claim.This suggests that not just is my 30 per cent No-Claims Discount now suspended, however the car insurance for my new automobile is practically$4,000, compared with a quote of$

1,667 for my partner whose records are tidy however has actually never owned an automobile. I know it is not the fault of the insurer, however the loss of NCD and the high insurance premiums leave an extremely bad taste in my mouth.WHAT WAS THE FUNCTION OF THE SCAM?Clearly, they covered all the bases-offering to manage insurance claims as well as mishap repair work. They stage the accidents and after that make cash from the unwary victims. It’s difficult to understand whether those declaring against my insurance coverage were legitimate or part of the scam.ARE THESE FRAUDSTERS STILL OPERATING?Mine was not the first or the last time such a crash took place at that area. I understand that there are no traffic surveillance electronic cameras there, which’s why it’s such a popular spot for these fraudsters and syndicates.Just some days back, there was a 12-vehicle accident along the very same stretch of the PIE. It was also due to the unexpected braking of a vehicle in front. Is it the very same group? Or someone else?WHAT CAN WE DO WHEN WE ENCOUNTER

SUCH SITUATIONS?Here are a few points to take note of: Know precisely what to do in a traffic occurrence, and make sure you have a preferred workshop already in mind. If you have no experience with workshops, a minimum of have your vehicle insurer’s hotline on hand so that you can get advice on what to do.Don’t be too going to accept help, even from the most well-meaning of individuals. The Expressway Tracking and Advisory System, better referred to as EMAS, is dedicated to dispatching a service team to show up within 15 minutes of the occurrence,

so don’t enable a random complete stranger to tow your vehicle. In reality, consider getting an automobile insurance plan that consists of

  1. hauling services.Get an in-car camera to guarantee you have some proof of the period preceeding the incident.It’s simple to feel helpless and believe that these fraudsters are going to get away scot-free. If certain areas tend to be targets for these distributes, the authorities should look into guaranteeing there’s better
  2. security and that these stretches of the expressway don’t end up being a blind spot.Ultimately, the authorities need to be offered more freedom to prosecute presumed scammers. If a person is offering name cards, or suggesting a workshop not long after an accident, victims must have the ability to report them. This ought to aid with recognizing who is involved in a syndicate.
  3. Even if they’re not, at least there is some record of their engagement. In Wilson’s case, they weren’t

even involved in the mishap so truly had no organisation being there.Currently, you’re likewise needed to inform the police if someone is hurt in a mishap. This need to be more strictly implemented so that it prevents fraudulent medical claims from turning up later on. In the story above, there was no injury reported, nor was the mishap extreme

enough to plausibly think that not one but 2 medical claims might be made. And yet Wilson still needs to deal with an enormous insurance coverage claim against him.But ultimately, here’s the important things-if these fraudsters continue to get away with these ludicrous “staged”accidents, you might lose a lot more than simply money. When it comes to Wilson’s friend, the mishap he was associated with wasn’t serious. However imagine if the cyclist at the back had fallen awkwardly onto the road and had gotten hit by a cars and truck in the next lane. Not just is a life lost, however the other people included in the accident likewise have to bear the injury of the loss.