THUMBS DOWN: Insurance Scams

The insurance broker offers a malpracticeinsurance policy at a farlower premium than the competition.You breathe a sigh of relief and signup. Unfortunately, there's a goodchance that the insurance company isa sham or that the broker will simplypocket your premium. The crisis inmalpractice insurance, as well as risingpremiums in other areas likehealth insurance and workers' compensation,has led to a jump in suchinsurance scams. Before you sign,make sure the company is licensed todo business in your state and find outwhether it has generated any complaints.You can obtain your state'sinsurance regulator through the NationalAssociation of Insurance Commissioners(816-783-8500; www.naic.org). Once you've signed, call theinsurance company and make surethe broker has enrolled you.