Why is auto insurance fraud so hard to catch?

I am doing a paper for one of my college classes. It’s about fraud in the auto insurance field.

From what I have researched so far, it seems if a driver lies about what they use their car for (to commute, fun, etc.) or lie about the address, stays under their annual mileage rate, and never get into an accident, they can get away with it! It seems someone has to get into an accident or go get their vehicle inspected to be caught!

How is this not being tackled? Scum like these folks is what is keeping the insurance premiums up!

I will appreciate all input!
mbrkatz:

So politicians like it when we point our fingers at insurance companies? Goodness I know the industry is not perfect by any means but some people love to game the system!

I had heard Progressive was installing devices into people’s cars to track them. That should be the ultimate deterrent tool!

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