Stolen Auto Insurance Cards: Identity Theft And Fraud Risks

Stolen auto insurance cards can be used for a variety of fraudulent activities. They can be used to register stolen vehicles, make insurance claims on totalled vehicles, or even create duplicate keys for a car. Additionally, thieves can use the information on a stolen auto insurance card to test drive cars from dealerships and not return them. This type of fraud can also extend to car loans, leaving the victim with debt. It is important to take preventative measures, such as locking your car and glove box, not leaving valuables in your car, and parking in secure areas. If your auto insurance card is stolen, it is crucial to file a police report and notify your insurance company and the relevant transportation authorities.

File a police report

If your auto insurance card is stolen, one of the first things you should do is file a police report. This report will help you prove the date, time, and location of the theft in case someone tries to use your insurance card or other documents. Filing a police report promptly will also increase the chances of recovering your stolen vehicle. According to NICB data, 35% of recovered stolen vehicles are found on the same day as the theft, and 45% are recovered within two days.

When filing a police report for a stolen auto insurance card, you should provide as much information as possible. This includes:

• Your vehicle identification number (VIN), which can be found on your insurance card or policy.
• The license plate number of the car.
• The car's year, make, and model.
• The location and estimated time of the theft, as well as any other relevant information.
• Any identifying details of your car, such as large dents, custom add-ons, scratches, or other distinguishing features.
• Information on whether your car has a GPS system.

Having up-to-date photos of your car on your phone can also be helpful in case of theft, making it easier for the police to identify your vehicle.

After filing a police report, be sure to contact your auto insurer and request a new insurance card. It is also recommended to notify your state's Department of Motor Vehicles (DMV) about the theft and request a replacement document if necessary.

Contact your auto insurer

If your auto insurance card has been stolen, it is important to act quickly to minimise the potential damage. Here are the steps you should take to address the situation:

It is important to provide as much information as possible about the theft, including the date, time, and location of the incident. If you have a police report, be sure to share this with your insurer. They may also be able to guide you on the specific next steps and any requirements for obtaining a new insurance card.

In addition to contacting your insurer, it is recommended to take proactive steps to protect yourself from potential fraud or identity theft. Here are some further actions you can take:

• Monitor your account and credit activity: Keep a close eye on your insurance account and credit activity for any signs of fraud or identity theft. Report any unauthorised activity immediately.
• Review your insurance policy documentation: Familiarise yourself with the terms and conditions of your policy, including any coverage limits, exclusions, and reporting requirements in the event of theft or fraud.
• Implement security measures: Strengthen your security measures to protect your personal and insurance information. This may include using strong passwords, enabling two-factor authentication, and being cautious about sharing personal information.
• Be vigilant about suspicious activity: Stay alert for any suspicious emails, phone calls, or other communications that may be attempts to gather your personal information or compromise your accounts.
• Seek guidance from identity theft resources: There are government and non-profit organisations dedicated to helping victims of identity theft. They can provide guidance on protecting your personal information and recovering from identity theft.

Remember, the sooner you contact your auto insurer and take proactive steps to protect yourself, the better your chances of minimising the potential damage caused by the theft of your insurance card. Don't hesitate to take immediate action and seek the necessary assistance.

Notify your state's DMV

If your auto insurance card is stolen, it is essential to take immediate action to mitigate any potential damage. One of the first steps is to notify your state's Department of Motor Vehicles (DMV) about the theft. Here are some detailed instructions on how to go about this process:

• Understanding the Risk: It is important to recognize the potential implications of a stolen insurance card. Thieves may gain access to your Vehicle Identification Number (VIN), enabling them to register illegal vehicles, file claims on totaled cars, or create duplicate car keys. In some cases, they might even use your stolen insurance card to facilitate identity theft.
• Report the Theft: As soon as you realize your auto insurance card has been stolen, contact your state's DMV and inform them of the situation. Provide them with as many details as possible about the theft, including any relevant dates, times, and locations.
• Request a Replacement: After reporting the theft, ask the DMV about the process for obtaining a duplicate registration. Each state has its own guidelines for reporting and obtaining replacement registration documents. For example, in California, you must apply for a duplicate registration after reporting the theft to the DMV. On the other hand, in New York State, you must first go to a police station and have the police complete form MV-78B ("Report of Lost or Stolen Motor Vehicle Items"), which is then submitted to the DMV.
• Temporary Solutions: While waiting for your replacement registration, inquire about temporary solutions to avoid issues with law enforcement. Depending on your state, you may be able to obtain a temporary tag or registration to use until your official replacement arrives.
• Follow-Up: After reporting the theft and requesting a replacement, stay in communication with the DMV to ensure your records are updated accurately. Follow any instructions provided by the DMV to ensure you've completed all the necessary steps for your specific state.
• Extra Security Measures: Consider adding identity theft protection services, which can provide automated alerts if your personal information is compromised. Additionally, take extra precautions with your vehicle, such as always locking your car, being mindful of where you park, and not leaving valuable items inside.

Remember, it is crucial to act promptly and notify your state's DMV as soon as possible after discovering the theft of your auto insurance card. This will help minimize the potential for fraud or further complications.

Criminals can use it for automotive identity theft

Criminals can use a stolen auto insurance card for automotive identity theft in several ways. Firstly, they can combine the insurance card with other stolen personal information, such as a driver's license, to create a synthetic identity. This involves using real and fake information, such as a stolen Social Security number and a fabricated address, to craft an entirely new persona. With this fabricated identity, they can then build a clean credit history and apply for high-value car loans. By the time the deception is discovered, the fraudster has disappeared with the vehicle, leaving the victim with debt and a damaged credit score.

Additionally, criminals may engage in third-party identity fraud, where they steal existing identities and apply for auto loans under the victim's name. In this scenario, the victim ends up with the debt and a ruined credit score. Another tactic is first-party fraud, where an individual misrepresents their identity or provides false information to gain financial or material advantages. These fraudsters often have no intention of repaying their vehicle loans.

Furthermore, criminals may use a stolen auto insurance card as part of document fraud. They can manufacture fake or altered documents, such as proof of income and employment verification, to create a veneer of legitimacy. This enables them to bypass dealership verification checks and secure loans based on fabricated information. Ultimately, they can use these fraudulent means to obtain a vehicle with no intention of making payments, causing significant financial harm to both dealerships and individuals.

To protect against automotive identity theft, it is crucial to take preventive measures. These include implementing robust verification processes, such as multi-factor authentication and advanced document verification technology, as well as training staff to identify suspicious behaviour. Additionally, investing in data security measures, such as encryption and access controls, can deter hackers and minimise the impact of data breaches. By being vigilant and proactive, dealerships and individuals can reduce the risk of falling victim to automotive identity theft.

Criminals can use it to make false claims

Criminals can use a stolen auto insurance card to make false claims. This can result in financial loss, legal repercussions, and damage to your reputation. For example, a criminal organization might use a stolen insurance card to set up a fake company and put in false claims to insurance companies. In this scenario, the insurance company sends a cheque to the fake company to cover the cost of the false claim.

Additionally, stolen insurance cards can be used to facilitate automotive identity theft. Criminals may steal a car and use a stolen insurance card to clone the identity of the vehicle, enabling them to transport it across borders and sell it. This was the case in a situation described by Garry Robertson, national director of investigations for the Insurance Bureau of Canada, who stated that stolen insurance cards were used to facilitate the theft of vehicles bound for destinations outside the country.

Stolen insurance cards can also be used to make false claims by filing a claim against someone else, alleging that they caused harm or damage. This can occur even if the accused was not present at the incident scene. In more severe cases, criminals may intentionally cause auto accidents and use the stolen insurance card to make it appear as if an innocent driver were at fault.

To protect yourself from becoming a victim of such crimes, it is essential to make a police report as soon as you notice that your insurance card has been stolen. Additionally, contact your auto insurer and your state's Department of Motor Vehicles (DMV) to inform them of the theft. It is also recommended to make copies or take photos of both sides of your insurance card and keep them safe at home.

Frequently asked questions