Insurance Fraud Epidemic Extends to Title Insurance Industry

Insurance fraud has reached epidemic proportions in the United States in this day and age. Indeed, experts estimate that insurance fraud overall costs the typical family in the United States nearly $1,500.00 on an annual basis. Of course, the most common types of insurance fraud involve automobile, health and life insurance. However, in recent times, fraud in the title insurance industry is also becoming a more common problems.

Because fraud is becoming even more commonplace in the title insurance industry, these incidents of criminality are costing consumers seeking this type of coverage more and more money all of the time, with each passing year.

For example, this week in the State of Florida, a remarkable 62 people were arrested in a large scale insurance fraud conspiracy. The men and women arrested in this scheme are believed to have cost consumers millions of dollars. Indeed, one married couple involved in this conspiracy were said to have defrauded consumers of more that $7 million.

There are a number of different types of fraud schemes that are infecting the title insurance industry today. For example, there are fly by night operators that have set up fraudulent entities that are not true title insurance agencies. These sham enterprises entice people to pay over what they believe to be premium payments for title insurance when the money really is not going to obtain such a policy. The sham operators merely pocket the cash and head off into the night.

In a similar vein, there unfortunately are some title insurance agents who actually misappropriate a consumer's premium payment for their own use. In the end, the consumer ends up unprotected without title insurance and the agent ends up converting premium payments for his or her own use.

Understanding that fraud is now infecting the title insurance industry, there are some specific tips that you need to keep in mind when it comes to purchasing title insurance in this day and age.

First, you need to make certain that you connect only with a reputable and reliable title insurance company.

Second, along the same lines, you need to make certain that you utilize only the services of a qualfied, experienced and reputable title insurance agent.

Third, in order to find out all the information you need to identify and then utilize a reputable title insurance company, agency or agent, you will want to utilize the resources to be found at http://freetitlequote.com/. This site can provide for you all of the information that you will need in regard to title insurance, including quotes and price comparisons.

Fourth, your real estate agent or broker can also provide you some basic information about a title insurance company and title insurance agent that can best meet your needs – and that have reputations for reliability, honesty and trustworthiness.

By paying attention to these pointers, you will be able to avoid the trauma that many consumers have faced when it comes to fraudulent practices in the title insurance industry today