Insurance regulators in Ontario are warning consumers about an alleged auto insurance fraud in the Toronto area.
The Financial Services Commission of Ontario (FSCO) is warning consumers that Bosko Kostovski is not licensed to do insurance business in Ontario, and that Durham Regional Police have charged Kostovski with fraud, forgery, and sale of false or invalid insurance cards. The allegations have not been proven.
FSCO says the investigation is ongoing, and that police are aware of victims in Scarborough, Brampton and Peel. Police report that they arrested and charged Kostovski in mid-March for selling fake insurance slips to a Durham resident.
“The best way for a victim to determine if the insurance slip they bought is valid is to call the claims number and see if they can reach an actual person. The forged insurance slips seized during this investigation look very real to an untrained eye,” police report.
FSCO says that consumers should exercise caution when responding to ads or offers to purchase auto insurance that promise extremely low rates, and do not provide the name of a licensed company or brokerage. It also says that consumers should not to pay their auto insurance premium in cash or via a wire or email money transfer service, “these are not common practices in the insurance industry.”
It advises insurance consumers to only deal with licensed agents or brokers.