In Queensland, individuals who have been injured in car accidents are increasingly becoming targets of scammers. These unscrupulous operators pressure vulnerable people into making injury claims, often with the intent of selling their personal details. This guide will help you understand these scams, known as ‘claim farming’, and show you how to protect yourself while making a legitimate claim.
What is Claim Farming?
Despite being outlawed in Queensland since 2019, claim farming continues to be a problem. This practice typically involves:
- Scammers approaching individuals injured in car accidents
- Pressuring or harassing these people into making compensation claims
- Potentially selling the personal information of claimants to solicitors or claims management services for substantial fees
Claim farmers often disguise themselves as insurers or government organisations to gain the trust of accident victims. However, it’s important to remember that legitimate organisations won’t make unsolicited contact about your accident.
How to Protect Yourself from Claim Farming
To avoid falling victim to these scams, follow these tips:
- Be wary of cold calls – always ask where the person is calling from and why.
- Hang up if you receive an unsolicited offer to help with lodging an injury claim.
- Verify the caller’s identity by independently looking up the phone number of the organisation they claim to represent.
- Be cautious of unsolicited messages on social media.
- Remember, if an offer sounds too good to be true, it probably is.
- Don’t be pressured into providing personal details over the phone.
- Report any suspected scam callers to the Motor Accident Insurance Commission (MAIC).
The Negative Impact of Claim Farming
Engaging with claim farmers can lead to several adverse outcomes:
- Higher legal costs, including hidden fees for the claim farmer’s services
- Potential involvement in inappropriate debt arrangements to cover legal fees
- Sharing of personal information without knowledge or consent
- Increased average costs of injury claims, putting pressure on the CTP Insurance scheme and potentially restricting choice and competition in Queensland
Conclusion
While claim farming remains a concern in Queensland, being informed and vigilant can help you avoid these scams.
At GC Law, we do not have any association with claim-farming organisations.
If you have suffered an injury in a road accident, get the best advice by calling us. We offer a free, initial, no-obligation consultation in all compensation matters.
