California Drivers Targeted by Predatory Towing Scam After Accidents (CBS News)

California Drivers Targeted by Predatory Towing Scam After Accidents

Friday, February 21st, 2025 Auto Fraud Legislation & Regulation Litigation

California drivers are being warned about a growing predatory towing scam targeting individuals involved in car accidents. Fraudulent tow truck operators are arriving at crash scenes uninvited, seizing vehicles, and demanding large sums of money before releasing them. The California Department of Insurance has identified an organized auto fraud ring behind the scheme, which has led to charges against 16 suspects in Southern California.

Investigators discovered that these scammers not only hold vehicles hostage but also engage in staged collisions and other fraudulent insurance claims. Victims, like Natalie Hatcher and her son, report being charged thousands of dollars for vehicle releases, even when no repairs were made. Authorities advise drivers to be cautious if an unsolicited tow truck arrives at an accident scene, verify the company with their insurer, and avoid signing documents without proper verification.

This evolving scam, often referred to as "bandit tow trucks," highlights the importance of driver awareness and vigilance. Officials urge victims to report incidents to law enforcement and insurance providers to help combat this growing form of auto fraud.


External References & Further Reading
https://www.cbsnews.com/losangeles/news/california-drivers-warned-about-predatory-towing-scam-sweeping-across-state/
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