Car insurance: Insurance cheaters call their luxury cars farm vehicles.
“Honest people end up subsidizing the insurance premiums of dishonest people,” said Robert U’Ren, senior vice president of Quality Planning.
He said the improper application of the farm-use discount is a money-saving move that’s done by both dishonest policyholders and insurance agents. It results in about $150 million of unpaid premiums annually.
Because farm use is seldom verified, “it is an easy tool that cheats can use to reduce the cost of auto insurance,” U’Ren said.
I never would have thought of this. I guess that’s why my our premiums keep going up.
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July 12, 2011 at 8:07 am
So, I guess if I paint a picture of a cow on my car I can call it a farm vehicle?
We always have to pay for the cheaters, it’s the same way with house insurance. My neighbor had a couple of dings on her siding from a hail storm…I mean, just a few that were barely noticeable, and she had an entire side of her house resided. I also have a neighbor next door who seems to have an inordinate amount of car break-in’s where watches apparently are stolen and other expensive items. I’ve never had anyone break into my car and I’ve even left it unlocked in the driveway…and who the hell leaves and expensive watch in their car over night? I have to wonder about these so-called claims.
July 12, 2011 at 8:41 am
I know Nunly. It makes me so angry that every single accident that I have had has always been an uninsured driver hitting me. Only 30% are insured in my town. The rest come from Mexico without insurance and guess what? The city doesn’t do jack about it. If, I try to travel in my vehicle in Mexico (NEVER), I must provide proof of insurance with one of their companies. Every single hit has caused me to replace my car, hence a new automobile. I drive very little now, so it really kicks me when I have to purchase another car aka new loan.
July 12, 2011 at 9:39 am
In Illinois, your license will be suspended if you are pulled over without insurance, but that just means we have drivers out there driving without insurance and on a suspended driver’s license!
My daughter lives in New Hampshire and they aren’t required to have insurance, and she was hit by an off duty policeman who didn’t have insurance and he said if she wanted the money to fix her car (it was his fault) to go ahead and sue him. Asshole. She didn’t….I would have.
July 12, 2011 at 10:21 am
I would have sued the creep.
July 12, 2011 at 10:25 am
BTW, if I were to wreck, run a stop sign in Mexico, they confiscate your car and you must prove your innocence. Yeah, real democracy from the land of corruption.
July 12, 2011 at 8:53 am
A similar cheating…this time tax cheating. People were getting $25k tax credits for buying Hummers. Yep. Because of the size and weight, they claimed them as heavy equipment and got to write them off on their taxes. That’s why we saw so many Hummers on the LA freeways! BTW, our former governator had several of them!
http://abcnews.go.com/Business/story?id=3326593&page=1
July 12, 2011 at 10:21 am
Great imust. We really need to redo the tax code. And where did the idea of scruples?
July 12, 2011 at 12:25 pm
If I am not mistaken, I believe the U.S. congress passed a special tax law upping the deductible limits on the vehicle depreciation expense tax deduction up to $100,000 just to help out with the sale of GM’s Hummers.
July 12, 2011 at 1:15 pm
Slick. Who can afford to feed them now?
July 12, 2011 at 11:00 am
They need a farm accident
like accidentally getting their head stuck in a haybaler.