How to Sink Your Car — and Your Good Name
People are hurting these days, that we know.
You’ve probably heard about some homeowners literally walking away from their properties because they’re “upside down” on their mortgages, meaning their homes are now worth less than the balance they owe. Similar things have happened with some motor vehicles that are now worth less than the balance of the loan, most especially those once-popular, gas-guzzling behemoths like the Chevy Suburban or GMC Yukon.
When money gets tight, some drivers are willing to try almost anything ⎯ even driving their vehicle into a lake ⎯ to try to get out from under that debt. Flood the car, report the vehicle as stolen, and hope to collect a quick insurance settlement.
Is today’s deteriorating economy creating a boom time for the car insurance fraud business? Or is the rate of insurance fraud one of those sure bets in life you can count on, like death and taxes? I checked in with the good folks at the National Insurance Crime Bureau to ask those very questions. You may be surprised by the answer.
