Staged and deliberately caused car accidents are a nationwide problem, according to the National Insurance Crime Bureau, or NICB, and they've released videos showing the most common ways these car crashes are created.
Working in cooperation with the Los Angeles Police Department, the NICB produced a series of high-definition videos in an effort to increase public awareness of these crimes which defraud insurance companies. "Without knowing what to look for, the innocent victims may not realize they were targeted," said Joe Wehrle, NICB president and CEO.
These four videos from the NCIB illustrate some popular staged car accidents. Watch these videos to see how these work as car insurance scams.
Staged car accidents are usually organized by groups who recruit participants who are paid in cash to participate in the scheme and claim they were injured in the crash. Medical providers also are recruited to be in on the scheme to bill auto insurance companies for unnecessary medical treatments that may not even be performed.
"These staged accidents are not only illegal and costly, but they also present a real danger to innocent drivers and to those recruited to participate," Wehrle said. While these deliberately caused car accidents are occurring across the country, the LAPD noted they are increasingly occurring on freeways where high speeds can be very dangerous as well as with these criminals demanding cash from the targeted driver with the money they have on them or by forcing them to drive to a bank or ATM.
Be prepared for a fender bender. Read What to do after a car accident.
Tara Baukus Mello writes the cars blog as well as the weekly Driving for Dollars column, providing both practical financial advice for consumers as well as insight into the latest developments in the automotive world. Follow her on Facebook here or on Twitter @SheDrives.