More criminals are devising elaborate staged vehicle accidents—complete with fake injuries—to collect on insurance policies, according to the Insurance Information Institute (I.I.I.). Not only can these staged accidents cost honest policyholders and auto insurers billions of dollars annually, but they create unsafe conditions on roads and highways—particularly when the scheme goes wrong. 

“Staged auto accidents are a dangerous criminal activity that targets innocent drivers with increasingly bold schemes aimed at defrauding insurance companies,” said Loretta Worters, VP with the I.I.I. “Not only do honest policyholders ultimately end up paying more for auto insurance, but those committing the fraud can cause serious injuries or death.” 

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