Let me share some scam news with you all..

Submitted by Anonymous (not verified) on Tue, 06/20/2006 - 09:07

hi,
The latest story that caught my eyes at a service oriented site depicts the fate of a lady in Sacramento who got arrested and charged with fraud for selling fake life insurance policies to around 1000 people in eight states using a mass mailing operation. Worth around $400,000 had been collected from the fraud victims in the form of membership fees and life insurance premiums. This mass mailing operation system was later banned by the law enforcement authorities in California and other states.
bye for now, Grace

Posted: 20 Jun 2006 09:36 Post Subject: wanna add to you !

Well friends, Grace's story sounds really good and it would surely be an eye-opener to many of us ! I had also come across an insurance fraud story sometime back….and now I'm glad to have an opportunity to come here and post.
Just as what happened with life insurance across eight states, car insurance fraud also has a great impact over our economy. I've noted the story of an insurance broker at Omaha who was arrested on charges of selling some worthless car insurance policies to the Omaha people.
Many of the clauses being inexplicable to the non-English communities it was easier for the scammers to gain their trust and persuade them to pay the down payment. Applications were never forwarded to validate the policies and as a result the insurance cards issued to the people were standing only for a few days. This is one of the worst insurance scams registered to have played with the money and trust of so many people.
hope to write back more...

Posted: 20 Jun 2006 10:14 Post Subject: just to let you know..

Guys…the last time I was searching for insurance materials, I came across a document stating the signs of insurance fraud and some ways to avoid getting trapped by them.
Although its specifically aimed to help the Asian Americans, it provides an overall guide to all insurance consumers. Distinguished features have been explained in the form of fake policies, premium fraud, unlicensed agents, unnecessary services, and personal insurance scams.
You'd surely get all the much needed information regarding the ways to get your money back and also obtain a clear idea as to the right authority for dealing with such complaints.
thanks..Steven

Posted: 20 Jun 2006 10:45 Post Subject: the ideal factors..!

Yeah, its absolutely true that we are losing billions of dollars each year in terms of insurance frauds.

I'm also sure that all of us are now pretty much aware of the illegal activities and offensive schemes that have become a part-n-parcel of the insurance world. So I personally feel that we should take a note of the basic causes and the brooding time for such frauds, in order to derive the precautionary measures rather than wasting time towards finding an eternal solution.

An Insurance fraud can be best identified when the policy holder seeks a reimbursement for his damages. So we should verify the stature and performance of a policy before we are gonna apply for it.
The victims are chosen on the basis of their culture, language or religious or ethnic background. this makes it easier for the scammers to misinterpret things at large and buy their trust.
regards..
Simon

Posted: 14 Jul 2006 09:46 Post Subject:

hi,
The latest story that caught my eyes at a service oriented site depicts the fate of a lady in Sacramento who got arrested and charged with fraud for selling fake life insurance policies to around 1000 people in eight states using a mass mailing operation. Worth around $400,000 had been collected from the fraud victims in the form of membership fees and life insurance premiums. This mass mailing operation system was later banned by the law enforcement authorities in California and other states.
bye for now, Grace



I know this happens but for crying out loud these people are really stupid! Insurance license isn't that hard to get, about 250 dollars in fees and a 3-4 day course with a test you have to score 70%! Its easy!

Now if you are good and can sell thousand plans you'll make more then 100% of the first years premium within the year! I make with some carriers 115% on Term, meaning if I sell you a policy that has a premium of say 500 dollars I'll make 500 dollars plus 15% more in the first year and they pay upfront all the money for the year in the first month! Why would they want to do it illegally for??? Oh well, I guess the average rip off guy or gal just isn't real smart? You can make more doing it legally and to boot get some nice trips and applause from your peers. Just don't understand these people that think doing illegal is a good idea.

Posted: 19 Jul 2006 01:16 Post Subject: fraud

I have been interested in insurance fraud for a number of years, and I've read alot about it. The most interesting book I've read lately on fraudulent insurance is Jim Carruth's "The Last Debit Man." A book that he says in his own words is about the dark-side of insurance. I found some of the schemes he writes about to be shocking, but again, in his own words he says, "there is more fact than fiction in his novel." I looked at his web site -www.jacarruth.com-

Post Edited:Evan

Posted: 18 Nov 2007 06:31 Post Subject:

Hi dave,

Your post has been moved to the following thread >> http://www.ampminsure.org/fraud/about3419.html

Thanks,
Lakemen

Posted: 26 Nov 2007 05:02 Post Subject:

I agree with Rick Blaine. That scheme sounds absolutely stupid. For someone to put that much time and effort into setting up a con like that is beyond my reasoning. Especially when it is so simple to get your life and health license and just do it right. Even if you dont find the test easy and it takes you 2 or 3 times to pass it. AT least you wont go to jail.

Finding and selling for a legitimate carrier is not hard either. For crying out loud, they will contact YOU. So all you really have to do is have a little more patience and you can actually make a lot more that you can expect to make performing a con.

Posted: 02 Dec 2007 05:08 Post Subject:

Great thread, I knew this was out there, but this thread truly brings some relevant issues to light. Checking out the insurance company and making sure that they are legit, should be easy considering all the internet technology out there today.

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