Authorities are warning California drivers about a rise in vehicle hostage scams, where scammers demand money to release towed or impounded cars.
Why It Matters
The scam has become prevalent in Southern California, and the Department’s Inland Empire Automobile Insurance Fraud Task Force has investigated multiple cases, including one that has resulted in the arraignment and charges against 16 Southern California residents. This task force investigation found the auto fraud ring allegedly conspired together to create fraudulent insurance claims to illegally collect over $216,932.
What To Know
The California Department of Insurance has issued a public service announcement warning drivers across the state of a rise in vehicle hostage scams.
According to the department, some tow truck companies are targeting car accident victims by towing their vehicles—often without clear consent—and then demanding excessive fees for their release.
The announcement warned that tow trucks may show up at crash scenes immediately after an accident. Scammers then often offer to tow the vehicle to a body shop, only for the driver to later be forced to pay inflated fees—often not covered by insurance—in order to retrieve their car…