Know the Characteristics of Fraudulent Insurance!

Hello friends! This time I want to share about how to recognize the characteristics of fake insurance that can harm us. Fraud insurance is insurance that does not have a business license from the Financial Services Authority (OJK) or is not registered with the Indonesian General Insurance Association (AAUI) or the Indonesian Life Insurance Association (AAJI). Fraudulent insurance usually offers very cheap premiums, very large benefits, or a very easy claim process. However, don’t be fooled by their sweet promises. Fraudulent insurance may not pay our claims or even disappear with our premium money.

Characteristics of Fraudulent Insurance

Then, how do you recognize the characteristics of fake insurance? Here are some tips we can do:

1. 1. Check the legality of the insurance company. Make sure the insurance company we choose has a business license from the OJK and is registered with AAUI or AAJI. We can check it on the official website of OJK, AAUI, or AAJI. If the insurance company is not on the list, then most likely it is insurance fraud.
   2. Check the insurance products offered. Pay attention to whether the insurance products offered are in accordance with our needs and abilities. Don’t be tempted by very cheap premiums, enormous benefits, or a very easy claim process. Usually, there are terms and conditions hidden behind the offer. Read the insurance policy carefully and don’t hesitate to ask questions if something is unclear.
   3. Check the reputation of the insurance company. Look for information about the performance and service of the insurance company that we choose. We can look for testimonials from customers who have used these insurance products. We can also find news or articles about the insurance company on online media or social media. If many customers complain or have a lot of negative news about the insurance company, then we should avoid it.
   4. Check insurance agents who offer insurance products. Make sure the insurance agent who offers insurance products to us is an authorized agent of the insurance company. We can ask for an insurance agent’s identity card and check it on the insurance company’s official website. Don’t easily trust insurance agents who contact us by phone, SMS, email, or social media without us knowing beforehand.

Those are some tips on identifying the characteristics of fake insurance that I can share this time. Hopefully this is useful and don’t be fooled by fake insurance!