Every time an insurance company pays a fraudulent claim, it passes that loss to its customers by raising their rates.
Claimants add damage, injuries, and fictitious passengers to their insurance claims.
The other 10 percent are the result of organized accident staging rings. Because of the sheer number of offenders, and the light sentences received by the few that are convicted, pursuing these crimes has not a priority for law-enforcement. Most insurance companies consider it a necessary part of doing business, and just pass the costs on to the consumer. We review some of the most popular insurance scams below. Deductible - Most respondents agreed that it is acceptable to increase the amount of an insurance claim by a small amount to make up for a deductible.