How To Avoid Buying A Fake Car Insurance Policy

Written by Sharad Bajaj

Updated On Oct 14, 20232 min read

Want to Avoid Buying A Fake Car Insurance Policy?

Counterfeit and fake goods have long flooded the market. This also extends to services and car insurance is no exception. It is important to have the necessary knowledge in order to avoid spending money on an insurance policy that turns out to be fake. Here are some tips that will help you remain vigilant and avoid purchasing fake car insurance:

Pick the Payment Method Carefully

If buying car insurance in person, the payment should be made by cheque to avoid frauds. Avoiding paying by cash helps you to prevent your money from going to any illegitimate source and ensures that all processes taking place are legal and aboveboard. A further precaution to take while making the payment is that the cheque should be written in the name of the car insurance provider and not any individual person, for example an insurance agent. This further helps to avoid insurance fraud.

Purchase Insurance Online

By purchasing insurance online from a legitimate and well-known website or the official website of the concerned insurance provider, you are shielding yourself from fraud and the possibility of mistakenly purchasing a fake car insurance policy. Thus it is advisable to purchase your insurance policy online, which also has the added benefit of being able to compare different policies and premiums.

Use a QR Code to Verify the Policy

The Insurance Regulatory and Development Authority of India (IRDAI) has made it compulsory for all insurance providers to offer a QR code with their policy. This includes car insurance providers. When a QR code is provided to you, you may use it to verify the validity and legitimacy of the provider to ensure that you are dealing with a genuine insurance provider and not a fraudulent or counterfeit service. Every car insurance policy in India will have a corresponding QR code, and you can scan this on your smartphone to get details about the policy in real time.

Be in Contact with the Insurance Provider

Every registered insurance company should have a verification link on their website, by clicking on which you can find details of its legitimacy. Further, it is useful to contact the customer care lines of the company to ask about details of the insurance provider and policy and to get all the relevant information. Ensuring this contact will help you determine the legitimacy of the insurance provider. Further, you can consider visiting the branch directly in order to verify the legitimate existence of the insurance provider and ensure you are not dealing with a fake company or policy provider.

Takeaway

The market is rife with fake and counterfeit insurance policies as well as insurance fraud. It is important to make sure that your insurance provider as well as the concerned policy are genuine and legitimate. By keeping all these measures in mind and ensuring that you are vigilant and properly research the insurance provider concerned, you can ensure your financial safety and protect yourself from fraud.

Disclaimer

This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.

Written by Sharad Bajaj

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Sharad is an insurance industry veteran who has managed motor insurance products for over a decade. He helped set up and scale the motor insurance vertical for a leading insurance company in his previous stint. In his spare time, Sharad likes to read and be in tune with nature.