Newspaper advertisements claiming to be able to help people find low insurance rates are luring consumers into purchasing fraudulent auto insurance policies by calling a 1-800 number.
The criminals behind this scam request payment for the insurance policy by wire transfer (through wire transfer companies). They receive payment but do not provide the consumer with a liability slip – which serves as proof of insurance – and no insurance coverage exists.
If you suspect you have been offered or have purchased a fraudulent auto insurance policy, take action immediately to confirm whether or not you have coverage. Contact the insurance company which is set out in the policy. Do not contact the broker or agent named in that policy.
If you discover that you have been offered or have purchased a fraudulent auto insurance policy, contact Insurance Bureau of Canada’s TIPS Line at 1-877-IBC-TIPS or the Canadian Anti-Fraud Call Centre (PhoneBusters) at 1-888-495-8501. If you live in Ontario, you may also contact the Registered Insurance Brokers of Ontario at 416-365-1900 or 1‑800-265-3097.