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How To Spot 6 Common Online Life Insurance Scams

In a world where everything is moving online, it’s no surprise that criminals have followed suit and found new ways to scam people out of their hard-earned money.

Powerhouse Insurance brings you six common life insurance scams you should look for.

1. The “too good to be true” life insurance scam

This is perhaps the most common life insurance scam out there. You receive an unsolicited email or call from someone offering you life insurance at a meager rate.

If it sounds too good to be true, it probably is. Don’t give out any personal information until you’ve researched the company and the person you’re speaking to.

2. The “free trial” life insurance scam

In this kind of scam, you are offered a free trial of a life insurance policy, but to qualify, you have to provide your credit card information.

The problem is, once the free trial is over, you’re automatically enrolled in a paid policy and get charged monthly fees, whether you want the coverage or not.

3. The “agent impersonation” life insurance scam

Agent impersonation is where someone will call you pretending to be from a life insurance company with which you’re already doing business. The caller will say there’s a problem with your policy and ask for personal information to “fix” it.

Once they have your information, they can use it to commit fraud or identity theft.

4. Online ad life insurance scam

The story begins when you see an ad for life insurance promising you cheap rates. If you click on the ad, you’ll be taken to a fake website that looks like the real thing. The site will ask you for personal information, such as your Social Security number, date of birth, and address.

5. The “investment scheme” life insurance scam

This scam is perhaps the most common in not only life insurance but also in other investments. In this scam, someone will try to get you to invest money in a scheme that doesn’t exist or is not legitimate. They may say that they have inside information about a new company or product and that you can make a lot of money if you invest now or will equalize your life insurance policy.

6. The “bait and switch” life insurance scam

In this scam, someone will try to sell you a life insurance policy by promising one thing but then delivering something entirely out of your expectation. The scammer will often show you a policy with great benefits but then switch it out for a policy with much worse coverage when you’re ready to sign.

Now that you know how scammers can take advantage of you, you can be on the lookout for these scams. Be sure to research before investing any money, and never give personal information to someone you don’t know.

If you want to get top-notch and trusted life insurance in Converse, TX, check out Powerhouse Insurance. We are the pioneers in whole life insurance and term life insurance and are always here to help you get the best coverage for your needs.

Get a quote today or call us at 888-243-4975 to learn more about our services.