A coalition of organizations in the U.S. is taking aim at towing fraud and staged vehicle accidents.
The American Trucking Associations (ATA) is among the groups, along with the American Property Casualty Insurance Association (APCIA) and the Coalition Against Insurance Fraud. A recent ATA survey of nearly 200 carriers found that 77% cited law enforcement referrals as their primary issue when selecting a towing provider, while 70% reported facing serious issues getting their cargo released following a tow.
“Our members are increasingly concerned with the impact predatory towing and staged accidents are having on their ability to conduct business,” said ATA chairwoman Sherri Garner Brumbaugh, president and CEO of Garner Transportation Group. “By joining with APCIA and the Coalition Against Insurance Fraud, we are confident we can put an end to these unscrupulous and unethical practices.”
Throughout the U.S., the ATA claims, towing companies are abusing insurers and crash victims by showing up to sites without authorization (or contacted by authorities that receive kickbacks) to tow unsuspecting vehicle owners at exorbitant rates. These tows often include unreasonable storage and access fees.
Canadian carriers in the U.S. have experienced this as well (see story linked below).