PRICHARD, Ala. (WPMI) — Ontario Johnson thought she had auto insurance until she got an alarming cancellation notice from Progressive.
“I read the information, and I was like, ‘Wow, I was scammed’,” said Johnson.
The letter says her policy “appears to have been purchased by an unauthorized agent/broker improperly using Progressive’s direct distribution channel.” Johnson showed us payments she says she made via CashApp for the policy to a woman claiming to be an agent she met locally through friends.
“The policy itself is $500, but in the beginning, she was like, you can just give me $150,” said Johnson. “She was like, I work from home. You can just send me the money, and I can pay it on my end because I get the discount. She said if I had paid it on my end I wouldn’t be able to get the discount.”
Johnson says after she realized she’d likely been taken for a ride, she called Prichard Police to report it.
“You know, we have a fraud department that would probably love to pay this person to visit,” said Dusty Smith, Alabama Department of Insurance Consumer Services Division Manager.
The Alabama Department of Insurance investigates insurance fraud and recommends consumers who think they’ve been taken advantage of to file a report with the department.
“We have a chat feature that they can use well, so love to talk to those folks and all your viewers that are having this kind of issue,” said Smith.
Smith recommends not paying cash or paying the agent directly, instead make the payment to the insurance company. You can also go to their website and verify who you’re dealing with is a licensed insurance agent in the state.
“And how long they’ve been licensed and who they’re with. It’ll tell them what company,” said Smith. -steps Johnson wishes she’d taken before shelling out hundreds of dollars.