I am sure there is more fraud out there, especially since people are having a hard time finding employment and can not afford to live the lifestyle they are used to living. They may have bought that new vehicle when they had a good job, and then lost their job and see no other way out. I am sure the current economic situation is making good people make some shady decisions.



On the other hand when you have good people making an honest claim, the insurance companies need to pay up. My brother in law filed a claim with a disability insurance policy that he has had since 2006 and only filed one other small claim three years ago, they racked him over the coals, talking about existing conditions, etc. I still believe the only reason they did finally pay was because they new about 6 customers were watching and ready to cancel, most of us have existing conditions and the insurance guys knows that when he completes the paper work, so why deny the claim or put it off just to cause stress.



So I think it works both ways.