How to Dispute a False Car Insurance Claim

How to Dispute a False Car Insurance Claim

In certain situations, people find themselves in fraudulent insurance claims, which are more complicated and stressful, as the process includes lengthy, hectic legal procedures, etc. Also, the third party demands a massive loss from the people even if they are not at fault, and because of the lack of information, they have to pay a handsome amount to the third party.

But have you ever heard about the right to protect yourself from fraud claims? If not, read this entire article carefully to learn how to dispute a false car insurance claim efficiently and quickly.

Also, here we are sharing a few essential things about false insurance claims, ways to protect yourself, and everything related to false insurance claims.

What is a False Car Insurance Claim?

Here, we will provide all the details about the False Car Insurance Claim, and thus, let’s start the discussion of our article by knowing the exact definition of False/Fake Insurance Claim.

In straightforward terms, a false or fake insurance claim occurs when someone overestimates the amount of damages and injuries they get from a minor accident just to receive the insurance money.

Fraud Insurance Claim

Also, filing a false insurance claim is one of the severe problems many people face, as they have yet to learn what steps to take against a fraudulent insurance claim. So, here we will discuss its types and later move ahead to know its steps and more.

Types of False Car Insurance:

There are two main types of Insurance Fraud, which are also referred to as False Accident Claims, which include;

  • Hard Fraud:

Complex Fraud happens at that time when one or more people work together to create an injury that looks natural, or we can say that they cause the accidents intentionally to get the insurance money. A straightforward example of Hard fraud is a staged accident.

  • Soft Fraud:

Soft Fraud means the victims trying to overestimate the cost of their damages and injuries just to receive the insurance money. Also, some people use soft fraud to recover their old injury expenses.

What are the Signs of False Insurance Claims?

Facing a false insurance claim can be hectic, isn’t it? However, there are a few signs that indicate a false insurance claim, by using which you can easily protect yourself from such fraudulent claims, which include;

  • Unfamiliar Claims:

Unfamiliar claims are claims in which you are not involved or about damages you did not cause. Now, the thing you should do to identify whether it is an unfamiliar claim or not is to review your insurance statements and policy regularly to confirm that any such claims are legitimate.

  • Discrepancies in Claim Details:

Irregularities in claim details indicate that you are not at fault for causing any damages and injuries. For instance, if you find some of the claiming details incorrect, like the time, location, date, etc., then you can easily protect yourself from these claim charges.

  • Witness Statement:

If the victim tries to set an inconsistent witness statement, it could indicate that the incident happened intentionally just to receive the insurance money. At that time, read the witness statements carefully, and if you find any contradiction, mark it immediately, for instance, if it conflicts with the incident descriptions.

  • Suspicious Behaviour:

This is one of the direct signs to check whether the client is making true allegations against you or it’s downright a fraud. In this case, the clients may hesitate to give their contact details, address, etc, to you or your insurance company.

Thus, these are easy ways to determine whether the insurance claim is correct or false. After considering the signs, follow the steps below to dispute false insurance claims.

How to Dispute a False Car Insurance Claim

All the below-mentioned steps are essential to take if you feel that someone has made a false insurance claim against you, which consists of the following;

Dispute

  • Step 1: Know Your Right

Before starting disputing a claim, it is vital to know what your insurance policy includes, such as what type of coverage they offer and what your policy is not providing. Once you are familiar with your insurance policy, you can proceed with the claim procedure.

  • Step 2: Connect With Your Insurance Company

After being aware of your rights, the next step is to contact the liable person’s insurance company and talk with their claim adjuster about the false claim. Now, if they are not supporting you, you can also connect with your insurance firm and try to tell them about the situation you are suffering. They will provide you with some helpful ideas and try to talk with the other person’s insurance company about the same.

  • Step 3: Don’t Commit anything forcefully to the other party’s insurance company

Most people have to forcefully accept their faults because of the pressure of the other party’s insurance company. So, this is one of the essential steps to follow: if you are 100% sure that you are not at all responsible for the accident, then do not try to change your commitment, even after they are giving specific reasons, just to take out a few expenses from your pocket.

  • Step 4: Let Your Insurance Company Know about the Other Party If They Contact You

Suppose the other party’s insurance company contacts you and asks for a few details that are not part of their claiming file; stop sharing it with them, as they will use it against you. Also, whenever you are stuck in such a situation, it’s always better to have some recorded information on your phone about the conversation between you and the other party’s insurance company and later send it to your insurance firm.

  • Step 5: Send the Denial Letter to Your Insurance Company from the Other Parties Insurer

It’s always better to send a letter from the other party’s insurer directly to your insurance firm and include a copy of the denial letter in your mail. By doing this, you can easily prove that the claim made against you is false.

Now, after trying all the ways to resolve your disputes with the other party’s insurance company and still not receiving any responses, the last step is to take action. 

  • Step 6: Take Legal Actions

For Legal actions, you first need to connect with one of the attorney firms, share all the details about the incident, and also share why you feel the claim made against you is false. Then, take the legal advice from the lawyer you hire and send the legal notice to another person’s insurance company for filing a false claim.

How insurance fraud is caught and stopped!

Final Words:

After reading the entire article, we hope you have a better understanding of the steps you can take for disputing false insurance claims. Not only that, but we have also provided a few signs that can be helpful for you to check whether the claim made against you is true or false.

So, nowadays, if you ever find yourself in such a situation, follow the above-given steps, and you can also take the help of lawyers, who can share a piece of legal advice for the further process. 

Finally, we conclude this article by sharing a thank you note for all the readers who have spent their valuable time reading our article.

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