Insurance Rates Going Up? Blame Staged Accidents in Florida

Are you paying twice as much for your Florida car insurance as you were two years ago? Officials say it isn't inflation; insurance scams are to blame. Staged accidents are driving up insurance rates.

In a staged accident, a driver purposely causes a Florida car crash and makes it look like the other driver is at fault. He may suddenly pull in front of a car and then jam on his brakes to cause a rear-end collision. Or, he may wave a driver forward as she is trying to merge and then step on the accelerator to cause a crash. He causes these potentially deadly accidents in order to collect the payment from the insurance company.

Insurance fraud in South Florida is a growing problem. Not only do victims have to deal with the inconvenient aftermath of a Florida auto accident, but they may also pay higher insurance rates because of the accident.

Florida law enforcement officials are doing their best to stop staged accidents. Florida has set up a program which gives monetary awards to residents who help convict insurance scammers. So far, 250 Floridians have received cash rewards for their help.

Unfortunately, these scam artists may also cause the no-fault insurance system to be eliminated in Florida. Lawmakers are looking at insurance reform as a way to fight insurance fraud.

Craig Goldenfarb, an accident attorney in West Palm Beach, has written a book to help Florida residents understand auto insurance. Request your free copy of What the Insurance Companies Don't Want You to Know.