Fortunately for the clone buyer, Wisconsin state law mandates that all new and used car dealers be licensed and bonded. If law enforcement confiscates a vehicle from an individual who purchased the vehicle from a dealer, then the dealer must make the buyer whole again. Since the buyer in this case bought the clone from a dealer and it was confiscated by law enforcement, she will not suffer any financial loss from the transaction. But in most other states, this same situation could result in the complete loss of a buyer’s investment.
The NICB offers these tips to help you avoid becoming a victim of vehicle cloning:
- Check the VIN with the department of motor vehicles
- Use NICB’s free VINCheck service
- Be careful when purchasing a used vehicle from someone advertising it online or in the newspaper
- Have a private company conduct a vehicle history report
- Trust your instincts. If a used vehicle deal sounds too good to be true…walk away
See the video of the Lancaster clone here.
Anyone with information concerning insurance fraud or vehicle theft can report it anonymously by calling toll-free 800-TEL-NICB (800-835-6422), texting keyword “fraud” to TIP411 (847411) or submitting a form on our website. Or, download the NICB Fraud Tips app on your iPhone or Android device.
About the National Insurance Crime Bureau: headquartered in Des Plaines, Ill., the NICB is the nation’s leading not-for-profit organization exclusively dedicated to preventing, detecting and defeating insurance fraud and vehicle theft through data analytics, investigations, training, legislative advocacy and public awareness. The NICB is supported by more than 1,100 property and casualty insurance companies and self-insured organizations. NICB member companies wrote $371 billion in insurance premiums in 2013, or more than 78 percent of the nation’s property/casualty insurance. That includes more than 93 percent ($168 billion) of the nation’s personal auto insurance. To learn more visit www.nicb.org.