Updated on - 04 Feb 2026
A common way people get scammed in India is by buying fake insurance policies without realising it until they file a claim. Avoid such a shock by steering clear of fraudulent policies with these smart tips.
Rely only on credible sources
It’s not easy to tell if a policy is genuine or fake just by looking at it, which makes it important to deal only with credible sources. Always buy your motor insurance policy directly from the insurance company to eliminate the risk of intermediaries, as any dealer or agent can easily print and distribute fake policies.
Buy the policy online or pay by cheque
Buying an insurance policy online is not only convenient but also safer, as the payment goes directly to the insurance company. If you prefer buying offline, make sure to pay by cheque. The cheque must be made payable to the insurance company, not to any individual.
Read the policy and verify using the verification link
Take a few minutes to read the policy carefully. Most insurers now offer a policy verification link on their website, which you can use to confirm the validity of your car insurance policy.
Buy the policy from licensed insurers
Currently, there are 33 recognised and approved general insurance companies in India. To eliminate the risk of buying a fake policy, purchase your insurance only from one of these licensed insurers. You can find the complete list on the Insurance Regulatory and Development Authority of India (IRDAI) website.
Make use of the QR code
For all insurance policies sold from December 2015 onwards, the IRDAI has made printing a QR code mandatory. The purpose of this code is to help verify the authenticity of your policy. Simply scan the QR code using a mobile app, and you’ll be able to view your policy and vehicle details.
With these smart steps, you can easily avoid falling into fraudsters’ traps and protect yourself against fake policies.
Why should you check if the insurer is genuine?
Verifying the authenticity of your insurer helps prevent fraud, claim repudiation and financial losses. A reputable insurance company ensures your policy is legitimate, the terms are clear, and claims are settled as promised, securing your investment and providing peace of mind.
How fraudsters target vehicle owners
Fraudsters use various tactics to deceive vehicle owners. Here are three common ones to watch out for:
- Identity fraud & document cloning: Criminals forge driver’s licenses or IDs or digitally alter photos to create fake driver accounts or rent vehicles in another person’s name.
- Synthetic fraud: Fraudsters mix real and fake personal information to create new, false identities used in auto lending or rentals, bypassing verification systems.
- Payment & referral abuse: Scammers use stolen cards to make payments or create multiple fake accounts to exploit promotional rewards, causing indirect financial losses to platforms and vehicle owners.
Steps to report a fake insurance policy
Becoming a victim of a fake four wheeler insurance scam can be stressful, but reporting it ensures others don’t face the same risk. Here’s what to do:
- Contact the IRDAI grievance cell: Call 155255 or email complaints@irdai.gov.in.
- Report on the National Cybercrime Portal: File an online complaint at https://cybercrime.gov.in.
- Visit the police station: Lodge an FIR at your nearest police station with relevant documents.
Consequences of buying a fake motor insurance
Buying a fake four-wheeler insurance policy can lead to serious consequences:
- If an accident or damage occurs, your claim will be denied, and you will not receive compensation.
- Driving without valid coverage can attract fines, legal trouble or even vehicle impoundment.
- Submitting fake or forged papers can lead to imprisonment under the IPC and the Insurance Act.
Tips for renewing your motor insurance safely
Renewing your motor insurance carefully ensures protection, cost savings, and compliance with legal requirements.
- Review your current policy: Access your existing coverage before renewal to identify gaps or unnecessary add-ons. Check if it still aligns with your vehicle’s age, usage and financial needs.
- Check for No Claim Bonus in car insurance: If you haven’t made a claim during the policy period, you might be eligible for a No Claim Bonus. This discount rewards safe driving and can significantly lower your renewal premium.
- Choose the right add-ons: Consider useful add-ons like engine protection, roadside assistance, or zero depreciation coverage. These reduce out-of-pocket expenses in case of accidents or damage.
- Read the terms and conditions carefully: Before renewing, go through the policy documents to understand exclusions, claim procedures, and coverage limits to avoid surprises later.
Understanding motor insurance terms to avoid scams
Understanding motor insurance or any four-wheeler insurance helps you identify fake policies, misleading claims, and fraudulent practices. This awareness safeguards your money, ensures legal compliance and prevents penalties such as denied claims or legal action.
Conclusion
We cannot say it enough: information and vigilance are the best ways to protect yourself against fraudulent motor insurance scams. To protect your policy, always verify your insurer’s legitimacy, understand policy terms and use verification tools like QR codes. Regularly review your coverage and track your No Claim Bonus in car insurance to enjoy genuine savings while ensuring that your protection remains valid, reliable, and legally compliant.
Get your car insurance online today and choose comprehensive coverage to stay protected against accidents, breakdowns, and other unforeseen events for complete peace of mind.
FAQs
1. How can I check if my motor insurance policy is genuine?
You can verify authenticity by scanning the IRDAI-mandated QR code, using your insurer’s verification link, or checking IRDAI’s list of licensed insurers.
2. What should I do if I realise my car insurance policy is fake?
Immediately report it to the IRDAI grievance cell, file a complaint on the National Cybercrime Portal, and lodge an FIR at your local police station.
3. Can I still claim benefits like the No Claim Bonus in car insurance with a fake policy?
No. Fake policies are not valid and do not offer any benefits. Only genuine insurers provide perks like a No Claim Bonus in car insurance upon renewals.
4. How can I safely renew my motor insurance to avoid scams?
Always renew through your insurer’s official website, verify the policy details, and confirm benefits such as the No Claim Bonus in car insurance.
Disclaimer: The information provided in this blog is for educational and informational purposes only. It may contain outdated data and information regarding the topic featured in the article. It is advised to verify the currency and relevance of the data and information before taking any major steps. ICICI Lombard is not liable for any inaccuracies or consequences resulting from the use of this outdated information.
Related Articles:
How to Choose the Best Car Insurance Plan in India?
How Many Times Can You Claim Car Insurance?
How to Compare Car Insurance Online?
How to Make a Car Insurance Claim
What Type of Car Insurance Should I Choose