In today’s fast-moving digital world, financial scams and insurance fraud are becoming more common and more sophisticated. Fraudsters use clever tactics to trick individuals into sharing personal details, signing up for fake policies, or paying for services that don’t exist. Unfortunately, falling for these scams can cost you not only money but also your peace of mind.
At Total Assurance, we believe in empowering our community with knowledge. Here’s what you need to know to spot, avoid, and protect yourself from scams.
Common Types of Financial & Insurance Scams
1. Phishing Emails and Calls
Scammers pose as banks, insurers, or government agencies, asking for personal or financial details. These often look very convincing.
2. Fake Insurance Policies
Fraudsters may offer “too good to be true” deals on life, health, or car insurance — only for you to find out the policy doesn’t exist when you need it most.
3. Claims Fraud
Sometimes fraudsters file fake claims in your name, leading to higher premiums or disputes with your insurer.
4. Identity Theft
Your personal details can be stolen and used to apply for credit, buy policies, or commit fraud.
5. Investment & Mortgage Scams
Fraudsters may offer quick returns or mortgage deals that look attractive but are designed to take your money and disappear.
Red Flags to Watch Out For
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Policies or deals that sound too cheap or too good to be true
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Pressure to sign or pay immediately
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Requests for payment through unusual methods (gift cards, cryptocurrency, etc.)
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Poor grammar or suspicious sender addresses in emails
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Lack of official documentation or verifiable company details
How to Protect Yourself
Verify the Source – Always check that the company is licensed and registered in New Zealand.
Contact Directly – If in doubt, call your insurer or advisor directly using their official number.
Protect Personal Info – Never share sensitive details over email or text.
Read the Fine Print – Ensure the documents and terms are clear, transparent, and complete.
Use Trusted Advisors – Work only with licensed financial advisers who can explain policies in plain language.
What to Do If You Suspect a Scam
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Stop all communication with the suspected scammer.
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Report the incident to the Financial Markets Authority (FMA) or CERT NZ.
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Inform your insurer or bank immediately to secure your accounts.
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Seek advice before taking further action.
Final Thoughts
Insurance and financial services are meant to give you peace of mind, not stress. By staying alert, recognising red flags, and working with trusted advisers, you can protect yourself from fraud and focus on what matters most — your financial security and future.
At Total Assurance, our team is here to guide you through safe and reliable insurance and mortgage solutions. If you ever have doubts about an offer or policy, don’t hesitate to reach out to us for advice.