Which insurance scam describes getting insurance after an accident and then reporting the damage to collect for the earlier loss?

• A. Ditching
• B. Past posting
• C. Churning
• D. None of the above

Answer: (B)

Past posting describes a fraud tactic where someone buys insurance after an accident and then files a claim for that damage as if the loss happened during the policy period. The scam relies on retroactive coverage to obtain a payout for a prior incident, which is deception because the insurer did not agree to insure that risk at the time the loss occurred. In practice, the fraud unfolds by obtaining a new policy after the event and later reporting the damage under that policy. If investigators find that the loss predates the policy’s start date, the claim should be denied, and the person may face criminal charges, policy cancellation, and restitution. Red flags include a loss date before the policy start date or a claim tied to a recently issued policy. This differs from ditching (dropping coverage to avoid obligations) and churning (replacing policies to generate commissions), which describe different improper practices.