Wednesday, December 06, 2006

The Great Illegal Alien Auto Insurance Con

Several years ago, when I still lived in Mexifornia, I was tipped off to an odd auto insurance scam. So I spent a morning observing traffic court in Glendale. Sure enough, a young man charged with running a red light and hitting another car and having no auto insurance presented the judge with an insurance card, dated and timed less than an hour before the accident. The judge dropped the "no insurance" charge, although the receipt he presented for the first insurance premium was dated three days after the accident.

Ironically, the next person to appear had similar charges: moving violation resulting in an accident, no proof of insurance. He, too, presented the judge with an insurance card, dated and timed about an hour before the accident. But his premium payment receipt was likewise dated after the accident. The judge did the judicial equivalent of busting a gut: both insurance policies were written by the same insurance agent.

Months later a newspaper reported that agent, et alia, were indicted for insurance fraud.

How the scam worked:

All were immigrants/illegal aliens of the same national origin. For a side payment to the agent, uninsured drivers - only of that nationality! - could, after an accident get a backdated auto insurance policy. Then they presented it to the judge to get the charges related to failure to meet the state's fiscal responsibility laws dropped, and stick the unsuspecting insurer with the bills for damages. Entre to this exclusive circle was strictly limited to "recommendations" of compatriots - a rather Mafiosa-style "family."

California subsequently stiffened their fiscal responsibility laws - any policy that was cancelled or not renewed was reported to the State. No insurance, no renewal of registration or license.

That tactic has proven futile. In the current crackdown, over 180,000 car owners in California have already been notified that the State is moving to suspend their car registrations. Several hundred thousand more are expected to receive suspension notices within the next few months. See: http://www.latimes.com/business/la-fi-suspend6dec06%2C0%2C5656833.story

Illegal aliens, whether they are licensed or not, often do not get car insurance. They often don't even register their vehicles, or register them in another person's (or ficticious person's) name. They steal license plates, get stolen or falsified registration papers, lift stickers off legitimate plates and glue them on their own expired plates. They buy falsified, forged or stolen insurance cards. They steal cars, along with the registration papers and insurance cards kept in the glove compartment, then not only chop the cars, but divvy up the paperwork and plates among multiple vehicles or use them as the basis for forgeries.

I no longer carry any paperwork for the car in the glove compartment. If my car were ever stolen, they could not get the papers - I still have them. I suggest you keep your license, registration and insurance card "on the driver" rather than "in the vehicle," despite any state laws. Yes, you must have your proper documents in the vehicle when you are driving, just don't leave them in there!

Urge your legislators to oppose licenses for illegal aliens. Despite the common argument that "they could then get insurance," they simply don't do it. Demand more stringent enforcement fiscal responsibility laws. Fight for protection against and prosecution of false, forged, stolen and falsified licenses, registration papers, and insurance cards. And demand strict punishment for driving without a license. Giving illegal aliens a driving license too often amounts to giving them a license to con.

6 Comments:

Blogger Mary said...

This shouldnt surprise any law abiding citizen who is aware of the illegal alien issue. Illegals driving without car insurance, a drivers license or registration is at epidemic levels in Arizona. It is a daily occurance in Phoenix for an illegal to be involved in a serious accident injuring others and the most the police will do is issue the illegal using a false ID a citation for no license or insurance. Of course they never show for their court date and just use a different false ID aftewards. The actual people who make this possible are the corrupt Jackals in the federal government who have allowed 30 million illegal aliens to enter our country. We now have the most corrupt government in our history who will soon grant amnesty then citizenship to these illegal alien criminals. I guess the corrupt vile federal politician dogs would grant murderers pardons if there was a large enough group of them.

8:01 PM  
Blogger Todd said...

There is obviously a lot to know about this. I did a search on the topic and found most people will agree with your blog.

Thanks
Traffic school

5:36 AM  
Blogger Jenny Tovar said...

What about the undocumented people that are hard working people with children and they need a car to get to work, buy food, take the baby to the doctor, how do they manage? They ask their friends with documentation to help them get their car registered and insured because they cannot and then it puts the burden on the documented person. This broken system is hurting american citizens, you cannot deny it. It is against human rights to treat people like this, because of urban sprawl a car is a necessity in america. Have a heart for the ones who are already here, who came here because they cannot make a life in their country due to corruption and poverty. End human rights violations of making undocumented people live in the shadows when they are mostly hard working good people. Let them get insurance and licenses so they will be accountable themselves and not have to resort to other means!

6:18 AM  
Blogger Jenny Tovar said...

What about the undocumented people that are hard working people with children and they need a car to get to work, buy food, take the baby to the doctor, how do they manage? They ask their friends with documentation to help them get their car registered and insured because they cannot and then it puts the burden on the documented person. This broken system is hurting american citizens, you cannot deny it. It is against human rights to treat people like this, because of urban sprawl a car is a necessity in america. Have a heart for the ones who are already here, who came here because they cannot make a life in their country due to corruption and poverty. End human rights violations of making undocumented people live in the shadows when they are mostly hard working good people. Let them get insurance and licenses so they will be accountable themselves and not have to resort to other means!

6:20 AM  
Blogger Transcend said...

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