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Insurance Ghost Brokers & Fake Health Plans
By admin / 10 January 2019

The vast majority of insurance agents and companies are ethical, honest and trustworthy. But crooked agents and bogus insurers do exist, and they can fleece you . Ghost brokers are professional fraudsters selling forged or invalid discounted insurance policies to unsuspecting consumers. They usually advertise their services online or within local communities, typically claiming to be able to secure you a cheap motor insurance policy.

Here are several scams you should watch for:

Selling phony insurance.
 An agent or company rep sells you fake coverage from a phony insurance company. Or the agent sells you bogus coverage using a legitimate company's name, or a name that's similar to a legitimate insurer. You might receive an official-looking policy or proof of insurance that's worthless. You could lose thousands of dollars if you suffer a loss and don't have a real policy to pay your claim.

Stealing your premiums. 
An agent pockets your insurance premiums instead of sending it to the insurer. Crooked agents may steal your premiums to support their business, feed a gambling or drug habit, or buy luxury goods such as cars or jewelry.

Selling coverage you don't want or need.
Maybe the coverage is real, but it's expensive, unnecessary, and your current policy may already cover that risk. Three examples:

• Churning:Dishonest agents might convince people to use the built-up value of their current whole life policy to buy a "better" policy even though their present life coverage is perfectly suitable. The agent gets a nice commission, but you must start building up cash value all over again.

• Sliding: An agent or insurer slips you extra coverage you didn't ask for, but do pay for. This can easily add $100, $200 or more to your premium. The agent cheerfully says it's simply part of a "package," or doesn't tell you about the coverage at all. Motor club memberships, accidental death coverage and guaranteed renewable life insurance are three policies that crooked agents sometimes sell to unwitting policyholders.

• Twisting: An agent may urge you to change policies prematurely by "twisting" the truth about the downside. If you have an illness, injury or other medical condition, for example, will that "affordable" new health policy refuse to cover it because it's a pre-existing condition?

Worthless investments.
You may be urged to invest in insurance-like instruments. One is viaticals, which are investments in life policies taken out on sick or terminally ill people. Viaticals can be a legitimate investment, but some can also be phony or misleading. Another scam is promissory notes, in which agents promise quick, high and certain returns for investing in promissory notes supposedly backed by insurance. Often the promissory notes don't exist, they're just a sham to steal your money.

Let RecoveryHelp fight for you in this situation. We have a solid record of recovery from genuine claims. Give us a call today on +1-(305)-705-6197 or Contact Support to get a free consultation.

Comments (5)
Sam LianeApril 06, 2019
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Quick tip! Before making a purchase google the VIN. You can find alternate pictures of the same vehicle online. Check the VIN to make sure it is the same vehicle

Jesse WilsonApril 07, 2019
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Yep I've seen this practice A third party buys a car like this from an insurance company. They doctor it up to make it look good in pictures. Then rerun it back through the sale. Because it looks better (in the pictures) it will likley sell for more money. Thanks for making this video. It's good to see honest people in this business.

Flynn HoodMay 12, 2019
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Please help me, I recently bought a 2014 Toyota sienna with 34,000 miles, It had rear damage and mechanical problems, when I recived the van , it had an engine from a 2011 Toyota sienna with over 125,000 miles in it. The vin number of this engine was attached to it so I looked it up and it happen to come from a junk yard in the same area of copart ....I got scammed and dknt know what to do... I'm so broken down.

James GilbertMay 12, 2019
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I always make sure, to know where the car I bought comes from. I never buy cars that are not from the insurance company. I have bought more than 100 cars at auction and I have never had that problem. Always do a vin search.

Alana GoodremMay 12, 2019
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I also think car insurance is scam, i drive car but dont buy car insurance. My choice to buy or not this service. all services we can choise, but car insurance not

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