How do I spot fake car insurance?

There are so many scams nowadays. How do I know which insurance companies are real? How can I spot fake car insurance?

Answer
With the influx of online and startup car insurance companies, it’s understandable that you’re a bit skeptical.
To verify a company you’re working with is legit, there are several things for which you can look.
First, look for their license. Every insurance company has to be licensed by the state they’re in, so check for the documentation. Agents also have to be state-certified. If the company is online, its website should list the license number.
If you can’t find it, you can also check with your state’s Department of Insurance or Financial Services. They’ll typically have a list of all registered and licensed insurance companies. You can also check with trusted sources, such as your state’s commissioner’s office and the NAIC (National Association of Insurance Commissioners).
Another option is to check for financial stability. Insurance companies usually offer this information on their websites with their financial ratings from companies like A.M. Best and Moodys Investors Services.
If you can’t find anything on a company or it claims to offer temporary car insurance or no deposit and very cheap car insurance, you might want to steer clear. Be wary and do your research! A great way to spot fake car insurance is when something seems too good to be true.
If you’re ever unsure about whether a company is legit or not, you can always ask our customer service team at Jerry app. Our team works with licensed companies and works hard to ensure you get the best deals.
Lauren Smith
Answered on Nov 02, 2021
Lauren has written for World Nomads, the Matador Network, Korvia Consulting, and once upon a time Three Fates Games. She graduated from Columbia College of Chicago with a BFA in Creative Writing. After graduating, she moved overseas and lived in South Korea where she spent her free time traveling and going on road trips with friends. She misses the rest stop potatoes and is trying to figure out how to recreate them at home. She's now based outside of Chicago and when she's not writing she spends her free time reading, playing video games, and exploring whenever she can.
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