First, having a camera mounted in the car puts new drivers on notice that they are being monitored, encouraging safer operating habits. Additionally, the cameras can provide evidence for parents of teens who persist in driving recklessly, allowing them to levy punishments or teach lessons about safety behind the wheel.
Unreported life changes and little white lies have a big financial impact in the auto insurance industry – and in the end the everyday consumer.
Rate evasion, the term used to describe the inaccuracies on auto insurance policies – whether intentional or accidental – that result in lower than they should be premiums for the policyholder costs the insurance industry $16 billion a year, according to Bob U’Ren, senior vice president of San Francisco-based Quality Planning.
“They have an impact certainly,” U’Ren said.
Purchasing car insurance can be tricky, especially when it comes to understanding what a policy covers and the amount of coverage needed to best fit your needs. If you neglect to buy it, your finances could be jeopardized – especially if you’re involved in a costly car accident. Plus, in most states, it is illegal to drive without it.
It’s no secret that many insurance fraud schemes involve murder, illicit activities, and mountains of debt. And of course, many involve idiots. Yes, people have been known to attempt the dumbest feats to get a quick payout, oftentimes getting caught in the process and facing probation, hefty fines, and time in the slammer.