RIVERSIDE, CA – The California Department of Insurance is warning drivers about a growing scam where tow truck operators hold vehicles hostage for cash after accidents.
Authorities say fraudsters mislead victims into unauthorized tows, then demand excessive payments before releasing the vehicles — charges often not covered by insurance.
An investigation into the vehicle hostage scam in SoCal by the Inland Empire Automobile Insurance Fraud Task Force has led to the arraignment of 16 individuals involved in an alleged auto insurance fraud ring.
They are accused of stealing accident reports and staging fake insurance claims totaling over $216,932.
How the Scam Works
- Tow trucks arrive unsolicited at accident scenes.
- Victims are pressured to sign paperwork or agree to a tow.
- Cars are taken to unauthorized repair shops that demand large payments.
How to Protect Yourself
- Verify the tow truck’s legitimacy with your insurance provider.
- Wait for CHP or law enforcement to confirm the tow.
- Never sign documents before speaking with your insurer.
Anyone suspecting fraud should call the California Department of Insurance at 800-927-4357 or visit insurance.ca.gov.
