Customers are using the knowledge they gained from shopping to manipulate rates more. Modern quotation systems make it easy for customers to run multiple rate scenarios, omitting drivers, switching addresses or transferring commercial vehicles to personal policies. Today’s extreme financial pressures and the relative anonymity of direct channels are making these types of frauds more common.
Auto rate manipulation is defined as: The submission of a quote or application with false, misleading or omitted information with the objective of reducing the insurance premium.
