Auto theft fraud
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Auto Theft Fraud Overview
According to the National Insurance Crime Bureau, auto theft is a very profitable business, generating nearly $8 billion a year. Despite declining auto theft rates, business continues to grow in the United States due to the ever increasing value of cars.
It's an awful feeling to be a victim of auto theft. According to the FBI, auto theft occurs about every 30 seconds in the United States, so if you are a victim, don't feel alone. Stolen Lost & Found Online is here to help. Stolen Lost & Found Online is the worlds largest online auto theft database, it's both free and easy to search auto theft reportings and free to report auto theft online.
Auto theft fraud is when the owner of a car reports an auto theft when in reality the owner themselves disposed of the car for insurance claims and / or to get out of car payments. Here are a few examples of auto theft fraud:
Owner Give-Ups
The vehicle owner lies about the auto theft then destroys the vehicle to collect an insurance claim. Many times the vehicle reported stolen will be found burned or damaged in secluded areas, sunken in a lake and even at times found buried underground.
30 Day Hold Out
When a vehicle needs extensive repairs, the owner will report the vehicle stolen and hide it for 30 days - long enough for the insurance claim to settle. Once the claim is settled and compensation paid, many times the vehicle is found abandoned.
Export Fraud Scam
Once a bank loan is secured for a new vehicle, an insurance policy is obtained for it. The owner then creates a fraudulent auto theft report, when in reality it was shipped overseas to be sold on the black market. The owner then receives compensation for the insurance policy and profits earned from the black market transactions overseas.
Ghost Vehicles
The creation of an artificial title or registration to create insurance on a vehicle that does not exist. An auto theft report is then created to file a fraudulent insurance claim. Antique or luxury vehicles are commonly used in this scheme, producing larger insurance compensation.
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