Stolen Vehicle Clones: Hot Cars in Cool Disguises

News provided by

Jan 23, 2015, 05:25 ET

DES PLAINES, Ill., Jan. 23, 2015 /PRNewswire/ -- The National Insurance Crime Bureau (NICB) is warning consumers to be careful when buying a used vehicle, especially one that's priced "too good to be true."

Experience the interactive Multimedia News Release here: http://www.multivu.com/players/English/70506515-nicb-stolen-vehicle-clones/

NICB agent explains how this SUV was stolen in Florida and cloned for resale in Wisconsin. (PRNewsFoto/National Insurance Crime Bureau) (PRNewsFoto/National Insurance Crime Bureau)

The accompanying video describes one such incident. An innocent woman in Lancaster, Wisc. bought a used GMC Denali for $30,000 and for the last two years she has been enjoying its use. Meanwhile, Carfax notified NICB that the Denali might be a "clone" since Carfax had information that an identical Denali was currently registered in Peabody, Mass.

Investigation by NICB quickly revealed that the vehicle in Peabody was the legitimate vehicle and that the one in Lancaster was most likely a stolen vehicle. The vehicle owner in Lancaster was contacted and agreed to bring her Denali to the police department for an inspection. NICB senior special agent Larry Burzynski confirmed that it was a stolen vehicle taken from Palm Beach County, Fla., in 2007.

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.

Facebook
Twitter
Blog
YouTube
LinkedIn

SOURCE National Insurance Crime Bureau