Auto insurance companies have once again came into limelight, basically for fighting the duping acts of clients in the case of being charged for high premiums for their policies. Such scams hitting across the US has made the auto insurance companies to look into the matter with great concern. To overcome these instances, authorities are trying to convince the people that the relative cost of the premiums they need to pay are quite cheaper than for avoiding in purchasing the one.
Following the scam the three claimants were found guilty before the court against the auto insurance fraud case for filing the falsified facts for their vehicle damage. As per the statistical information, the auto insurance companies had to bear the brunt of 90 million dollars annually for such cases. To keep a check on such fraudulent, the State Law in Washington has made it mandatory for each vehicle owner to have the viable auto insurance policy. The requisite automobile policy may help to cover the owner, his vehicle and the other driver against the undue damages or mishaps caused in the accident.
This investigative measure will help in controlling the undue rise in auto insurance fraud cases. It is to mention that the state authorities have witnessed a 40 % increase in the fraudulent cases for auto insurance policies. Most of the people are found to be the first time offenders in such cases. To curb such menaces the state authorities have come up with special preventive measure as follows:
It has been directed to al the auto insurance companies to build a separate investigation department to keep a check o fraudulent. Furthermore it has been said to the auto insurance companies to stabilize the premium costs for the policies as per the pocket allowance of the holder. So, that it may not turn up as a burden to them.
In case of habitual defaulters, rigid penalties should be charged and the prison sentence should be increased to a longer period with strict instructions. Besides this, various educational seminars or programs should be conducted for the public to encourage them for purchasing the requisite auto insurance policy for their vehicle to enjoy happy and safe on-road journey.
Since the law is made for public to enjoy the every basic benefits facility of the state and to follow the same becomes the duty of every citizen. So, let one not forget to do the duty by not purchasing the requisite auto insurance policy. If you do not have it and think over it again and get the one for your vehicle right away!