Are you sure you have a genuine motor insurance policy?

Are you sure you have a genuine motor insurance policy?

Have you taken insurance policy for your motor vehicles? If yes, then please check if they are genuine or fake. Else, if you meet with an accident and make a claim, you not only risk losing money but also face humiliation. Major insurance companies have issued an alert over fake policies.

Con agents

The fraud is committed by issuing fake insurance certificates by using leading insurance companies' names and logos. The number on the policy will also be fake. For a common man, it is difficult to differentiate between a genuine and fake insurance certificate.

In several places, agents of major insurance companies were directly involved in cheating gullible customers. In Kannur, a person working as an agent of a leading auto insurance company was recently arrested for such a fraud. In the case, the owner of a luxury car had bought insurance for his vehicle from an agent who was his acquaintance. Next year, the person went to renew the policy at office of the insurance company only to know that no such policy was issued earlier.

Fraudsters usually take advantage of the background of the people who come to buy insurance. Their theory is simple – cheat those who are less likely to make a claim. And those to fall prey to these fraudsters are those who drive less often, those who buy vehicles but leave them at home and work abroad, and women. These people need the insurance certificates only during inspections by traffic cops. They generally buy insurance for a year. Since they do not make a claim, the fake certificates seldom get caught. The fraudsters take advantage of the fact that out of 10 policies mostly one or two claims are made.


* Remember that those who have a fake insurance certificate will never get any kind of compensation. So, it is upon the vehicle owner to make sure that he or she gets a genuine cover for the vehicle.

* Do not forget to provide your mobile number in the insurance application form. Moreover, ensure that your mobile number is printed on the insurance certificate issued by the company. The insurance companies generally send policy numbers and other information to the registered mobile numbers.

* Ensure that there is a QR code on the insurance policy. Recognised companies issue policies with a QR code. If you have any doubt, you can check with the nearest office of the insurance company or on its website.

* Demand company's licence or an appointment letter from people who claim to be agents of insurance companies.

* The main selling point of fake policies is their low cost. Hence give importance to credibility over the cost factor.

* If you are giving the payment through a cheque, ensure that it is crossed.

* If you find that the policy is fake, immediately inform the company.

Online policies

You should be alert while buying policies online too. Even though the company might have offices in Kerala, the main office could be located in north India. When you make a claim, even though the staff in its local office could help you do the paper work, the file will be sent to the main office for approval. This could result in inordinate delay in getting the claim approved.