Texas Department of Insurance warns drivers of auto insurance scam - CBS19.tv KYTX

The Texas Department of Insurance (TDI) is warning drivers who are on the hunt for an insurance company to look out for a scam that leaves them with no coverage even after paying for it.

According to TDI, these scammers are taking payments from victims by making them believe they are paying for required liability coverage from an insurance agent. But instead, the scammers are keeping the money and giving out fake insurance cards and other documents to the victims. 

“Most people wouldn’t realize they’d been scammed until they get in an accident or get pulled over for a traffic violation,” TDI’s fraud chief Chris Davis said.

TDI provides a few tips to help protect you from becoming a victim of the scam: 

• Make your payments to the company, not directly to the agent.
• Call the insurance company to make sure you have an active policy.
• Make sure you are dealing with a licensed agent.
• Call TDI’s Help Line at 1-800-252-3439 to check on an agent or company’s license or if you suspect fraud.