We all know a criminal is someone who has committed (or been legally convicted of) a crime. How could you end up with this label when you are not intending to go out and commit a criminal offense?

How about drinking and driving? This is one of the crimes under the Criminal Code of Canada for a conviction while operating a vehicle which results in a ticket. Now the the insurance underwriter will rate the you accordingly. This conviction will last for three years on your record and affect your premiums for up to six years.

Some more examples of this type of conviction which are regarded as criminal include:

  • Failure to stop at scene of an accident.
  • Dangerous operation of a motor vehicle.
  • Criminal negligence which causes bodily harm and committed by means of a motor vehicle.
  • Fail to stop when being pursued by a police officer.

A situation that you could find yourself in would be in regards to your home or property insurance. We all know about arson. Arson is when you deliberately set fire to property.

Not everyone is aware that fraud is another major crime that affects property insurance. There is premeditated fraud. An example of this is when you stage a break-in and then claim property that was supposedly stolen. Opportunistic fraud is when you have had a real break-in and now you exaggerate the values or quality of the material that was taken. There is also personal injury fraud where you exaggerate or fake an injury after a car crash.

If you know a crime has been committed then you need to report it to the police. If you are concerned about a claim then talk to your adjuster about how to present the most accurate information to be sure there is no concern about inflated values.