You're a valuable partner in our efforts to deter fraud and keep premiums down for all customers. Did you know the cost of insurance fraud is $80 billion annually?

The two most common types of fraud: claims for thefts or fires that never happened and making changes to a policy after an incident already has occurred.

Customers are powerful allies in recognizing fraud. We encourage you to "go with your gut" and report suspicious activity to us here at Kelly Insurance Agency, Inc.  Don't let someone else get away with fraud!  It effects everyone's premium -- including your own. 

For tips on recognizing signs of fraud, read more.

First, there are three main fraud categories:

• Premium Fraud/Rate Evasion. Vehicle owner resides in a state with high premiums and registers his vehicle in a state with lower premiums. Usually involves misrepresentation on the application.
• Intentional Fraud (Hard Fraud). Organized fraud rings and bogus claims.
• Opportunistic Fraud (Soft Fraud). A real loss with an exaggerated claim or some other misrepresentation in the claims process.

Rate evasion usually occurs at the time of application.  Agents and customers should beware of the following red flags:

• Address that’s a P.O. box, or a street address bordering another state.
• Out-of-state phone number for contact or a cell phone/pager.
• Vehicle purchased from out-of-state dealer.

If you suspect a fellow consumer is committing fraud, please let us know.  Our ultimate goal is for everyone to be indemnified appropriately for every legitimate loss.  The customers that strain this goal cost the rest of us (you included) and it leads to additional questions and procedures that complicate the process for the legitimate claims.