The California Department of Insurance reported that auto arson and auto theft fraud are on a rise which indicates that artists for such scams may be committing to automobile insurance fraud on insurance money.
There are a lot of Californians who are facing a lot of financial challenges in today’s economy, but breaking the law would only compound the problems in search of quick fix. The department of insurance investigators has seen an increase in suspected automobile arson and theft fraud cases.
The Californian Department receives referrals of suspected fraud cases from various sources which include local agencies, insurance companies or sometimes also directly from consumers. The Department saw an increase of upto 25 percent in suspected vehicle cases compared to referred cases in 2007. In 2007 the department received around 344 referrals for suspected automobile arson, compared to 451 in 2008. The total number of suspected cases received by Californian Department for all automobile categories has remained constant while suspected vehicles arson and referrals have increased noticeably.
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