If you loose your job due to accident or injury, quite often your company’s disability policy is not enough. The state and federal governments do offer some temporary compensation to help with job loss but what happens when it runs out. This is where unemployment insurance comes in handy.
Many are looking to private companies to top up what the government or their employers currently offer. However, with the growing number of unemployment insurance policies being sold, there unfortunately are a growing number of fraudulent insurance policies on the market.
Fraud can mean someone telling a little white lie to extend their benefit or it can be very serious and include actual bogus policies being sold.
Fraudulent insurance policies are widespread across the insurance industry and the cost is overwhelming. Many who think they can depend on their policies suddenly find they have to use their life savings just to cover expenses. Sometimes homes and other valued possessions are lost when there are no savings to help them survive.
Insurance companies and those who sell fraudulent policies realize it will likely be some time before you actually collect on your policy. This makes it very easy for them to take your money and run. By the time you actually claim on your policy they are long gone.
When purchasing unemployment insurance take the following advice. If you see a company advertising on line, make sure they have a fixed address and phone number. If they have neither of these then don’t purchase from them. This company could be here today and gone tomorrow. Do not give any personal details over the internet. Once they have your account numbers they can do far more damage than a fake insurance policy. See if this company is registered in your state, if not then don’t purchase anything from them. Finally, it is best to purchase policies from large companies. They may be more expensive but their reputations are sound.