Written byNowadays, staged vehicle accidents have become a growing problem in South Carolina. Thereby, insurance companies and innocent drivers are facing financial strain. Also, local authorities are frustrated with the situation.
Primarily, those criminals carefully plan these fraudulent schemes. Thereby, they manipulate crashes to file false or exaggerated claims.
Hence, if you are a driver in South Carolina, you must be aware of what actions to take. In fact, you will be able to do a few things to prevent those occurrences. Meanwhile, you will save yourself from unnecessary financial and legal issues.
Read on to get a better idea of what staged vehicle accidents are. Also, you will know what to do in those situations.
Staged Vehicle Accidents: How Do They Happen?
As the name suggests, a staged vehicle accident is a crash that’s planned to make it look like an ordinary traffic accident. Actually, it is a scheme. In general, the criminals behind these scams design situations where unsuspecting drivers crash into them. They do this to collect money from insurance companies.
Thereby, they claim compensation for fake injuries and exaggerated damage to their vehicles. Also, they might request money for medical treatments that are not truly necessary.
Sometimes, the deception goes a lot further. In fact, corrupt professionals, like healthcare workers, might also be part of the plan.
Basically, they step in to help the scammers build fake medical cases. Then, they exaggerate injuries or encourage victims to settle unfair claims. Hence, it gets harder for insurance companies to detect the fraud. As a result, scammers take advantage of the system.
If you have a victim of a staged vehicle accident, reach out to St. Clair County Car Accident Lawyer – Hipskind & McAninch, LLC now.
How Do Staged Accidents Impact Insurance Companies?
Primarily, staged accidents look like real crashes. Hence, insurance companies end up spending time reviewing reports. Also, they check security footage and interview witnesses to uncover the truth.
In addition to that, these scams raise costs for everyone. Thereby, they make insurance more expensive. Hence, they bring new challenges for law enforcement trying to put a stop to them.
Meanwhile, the impact goes beyond financial loss. In some cases, victims face increased insurance rates and legal trouble. Also, they face the difficulty in proving they were not at fault.
Hence, you must learn more about staged accidents. Hence, you will be able to stay alert on the road. This way, you will protect yourself from falling into these traps.
Why South Carolina Is a Major Hotspot for Insurance Fraud?
In recent times, South Carolina has become a hotspot for insurance fraud. The following are some of the major reasons behind this trend:
- Lenient fraud detection policies
- Heavy traffic in urban areas
- The presence of organized crime groups. Like always, they exploit weaknesses in the system.
Sometimes, drivers become unsuspecting on the road. They do not realize that staged accidents might happen at any time. Hence, because of a lack of awareness of scams, they receive unexpected financial and legal consequences.
Moreover, there is a high number of insurance claims in South Carolina. This has made it difficult for investigators to quickly identify fraudulent activities. Basically, scammers capitalize on the delays. Also, a lack of resources makes it difficult to uncover fraud.
Major Types of Staged Crashes in South Carolina
The following are the major types of staged crashes that are frequent among criminals:
1. Swoop and Squat
One of the most frequent tactics of staged crashes is the swoop and squat. In this case, a vehicle suddenly cuts in front of you. Then, they slam on the brakes. This causes a rear-end collision. After that, the scammer then blames you for failing to stop in time.
2. Drive-Down Scheme
The drive-down scheme is another effective scam. In this case, a scammer waves you forward at an intersection. Then, they crash into your vehicle. However, they will deny that you gave them the right of way. In many cases, they plant witnesses at the scene to support their false claims.
3. Involving Pedestrians
Involving pedestrians in staged accidents is also common. For instance, you will suddenly find someone jump into traffic and fake an injury. Then they will demand compensation from you.
Basically, in all those cases, the scams result in financial hardship. Apart from that, they clog the legal system with unnecessary disputes.
What Are the Financial and Legal Consequences for Victims?
In general, victims of staged accidents face major challenges. If you are a victim, your insurance premiums increase due to fraudulent claims. Also, you will struggle to prove that the accident was intentional.
Interestingly, some individuals might end up in court. They will fight false accusations. This will put your driving record and finances at risk.
Apart from that, there is also a major emotional toll. This is because you have to go through stressful legal proceedings even after the crash. In many cases, you might have to pay out-of-pocket for repairs, medical bills, and other expenses. This happens because insurance companies hesitate to approve claims when they suspect fraud.
In addition to that, fraudulent claims will increase insurance costs for you. This will generate long-term financial burdens. Basically, it brings a ripple effect. Hence, these scams impact both individual victims and the broader economy.
Meanwhile, insurers have to allocate resources to combat fraud. Hence, they lose focus on legitimate claims.
What Preventative Measures and Legal Recourse Must You Take?
The following are the things you might do to stay away from staged accidents:
- Always stay alert
- Maintain a safe distance from suspicious or aggressive drivers
- Install a dashboard camera in your vehicle. This will bring in valuable evidence if an accident occurs.
- If you face a crash, make sure to gather witness statements.
- Call law enforcement immediately. This way, you will be able to establish the facts. Also, you will. Moreover, you will know how to identify deceptive behavior.
In general, insurance companies emphasize the importance of reporting suspected fraud. This way, they allow authorities to track repeat offenders. After that, they take action against organized crime rings involved in these scams.
Apart from that, you must always get legal guidance if you face a staged accident. This will help you deal with wrongful accusations.
Also, you will recognize fraudulent schemes. This way, you will be able to take preventive measures. Thereby, you will not become a victim. As a result, you will be able to fight insurance fraud in South Carolina.
Note: This article is provided by “H&M Attorneys“ and published by our team. We are not responsible for the accuracy of the information provided.
