Understanding Insurance Fraud – Crucial Tips from Your Alberta Insurance Company

Insurance fraud costs policyholders millions of dollars a year in higher premiums. Anyone can become a target. Understanding how you can protect yourself against insurance crime is vital to preventing it. Reporting this crime can help stop the repeated abuse of the insurance system.

The team at Millennium Insurance encourages you to take steps to guard against insurance fraud. As a 100% Canadian-owned insurance company, we want to ensure that Alberta residents reduce their risks of accidents and potential fraud.

Preventing insurance fraud in Alberta

How to Reduce Your Risks of Insurance Fraud

Whether you are new to driving or have been driving for decades, keep these suggestions in mind to avoid your exposure to fraud:

  • Be a Defensive Driver: Many cases of insurance fraud are the result of a car accident taking place. Prevention of an accident is the number one step you can take. Be sure to leave plenty of room between you and the vehicle in front of you. Look for road hazards and other cars around you. Keep your speed in line with the driving conditions. While it may seem like a friendly motorist is taking turns, use some caution when accepting the right of way. Be prepared to take evasive action at all times.
  • Be on the Alert after a Minor Collision: Minor collisions are ripe for fraud. Be on the lookout for suspicious activities such as:
  • The other driver insists on alerting police even though the vehicle damage is very minor.
  • Driver and/or passengers are adamant that emergency services be called.
  • The other driver is quick to recommend a tow truck company, vehicle repair shop, medical treatment center, or legal services.
  • The auto insurance of the other driver was recently issued.
  • You notice that the account of the accident provided to the police by the other driver has changed.
  • The accident happened in an isolated area, and a variety of witnesses suddenly appear.
  • A random tow truck driver arrives at the scene to recommend their services and suggest a specific repair shop.
  • Take Pictures: A picture says a lot, so be ready to take several photos of all vehicles involved and the damage sustained.
  • Educate Yourself on the Possible Types of Insurance Fraud: Education is the best weapon against fraud. The Insurance Bureau of Canada (IBC) is a valuable source of information for the public about insurance crimes. They even have a wireless app to raise awareness.
  • Report Insurance Fraud: If you think you are a victim of insurance fraud, report it immediately to the police, Crime Stoppers, or with the IBC. 

Reduce Insurance Crimes in Alberta

Help reduce insurance fraud by being proactive in your driving, alert at the site of an accident, and ready to report suspicious activities. Millennium Insurance is dedicated to protecting the residents of Alberta.

Need car insurance for your family in Edmonton or Calgary? Call us at (780) 467-1500 or1-866-467-1245, or email us at info@millenniuminsurance.ca. Also, do not hesitate to fill out our online contact form for more information.

Need help? Speak to one of our agents
1-866-467-1245  or  780-467-1500