CONSUMER ALERT: Fake Insurance Policies
In recent days, there are reports of individuals posing as car insurance agents trying to sell fraudulent policies at dealerships. This statement was released by Arkansas Insurance Commissioner, Allen Kerr.
He stated that these complaints were received from Progressive Insurance about people posing as Progressive agents. These individuals were attempting to sell policies to consumers looking into purchasing a vehicle.
Progressive Insurance has referred roughly 240 initial cases of alleged fraudulent insurance that was sold and have sent it to the Arkansas Insurance Department for investigation. The company stated that the individuals frequented the area dealerships presenting themselves as Progressive agents, offering services to assist car buyers in getting insurance online. These policies were purchased by paying cash to the individual at the car lot.
The fake agents would then go online to purchase a Progressive policy using a checking account. The individuals would then claim the transactions as fraud, lending to a return of the purchase and rescission of the policy.
Arkansas Insurance Department encourages consumers who may have been victims to contact the Criminal Investigations Division at 866-660-0888.
The Commissioner reminds Arkansans that people who sell or are in possession of a false, fake or counterfeit insurance policies or insurance identification care may be charged with committing a fraudulent Insurance Act, which is a Class D Felony that carries a maximum penalty of six years in prison and a $10,000 fine.
Receptionist-A&J Collision Repair
1215 Thomas G. Wilson Dr Conway, AR 72032