Suspected Car-Napping Insurance Scam

At night on 18/11/2015 my daughter was involved in a minor car scrape in Prahan, VIC.

As she was pulling out from being parked at the side of the road into a gap of stationary traffic, a vehicle (that was stationary at the time she head checked) suddenly pulled forward into the rear side door of our vehicle. ( Basically she believed he was letting her in, as we all have experienced ourselves).

The driver of the other vehicle drove off immediately.

Once my daughter and her passenger friend had composed themselves, she checked her car wasn't severely damaged and drove on.

A few minutes later she observed a vehicle driving behind her that was then aggressively flashing headlights at her. Against any better judgement, she pulled over. It turned out to be the other party involved in the earlier incident.
The other driver told her to get out of the car to see the damage she 'had caused' to his vehicle. All she could see was a minor paint spot mark. She felt intimidated and afraid. The other driver had a colleague with him and they were both remonstrating and aggressively telling her to admit the accident was her fault. Later she realised the driver's colleague was filming this 'admission' on his mobile phone.
They demanded her details then drove off before providing theirs.

Once she returned home and explained the scenario to us we were unable to report the insurance details of the other driver to our insurer. We didn't have his name nor his rego. The damage to our vehicle was cosmetic, so it wasn't worth lodging a claim - the excess would be more than the repair. If they claimed against our insurance we would not admit blame and the insurers could sort it out.

12/12/2015 : The other driver called my daughter requesting insurance details.
15/12/2015: We texted the details to the number and requested they reciprocate. No details were received.
15/12/2015: Reported the incident to Forest Hill Police since we were unsure where this was heading.
We reported it to AAMI insurance on advice of Police. We did not lodge a claim since the damage to our vehicle was cosmetic, as was the damage to the other parties' vehicle. This was a very low speed incident. AAMI said there is nothing they can do until they receive a claim from the other party against us.
10/02/2016: Letter received in post from JP Auto Recovery Services seeking costs for repair to the owners vehicle. They now named the owner and provided a registration number. The letter stated their client's property was still being assessed and costs would be forwarded to us. They requested we provide them with our insurance claim number or to contact them directly to discuss payment.
12/12/2016: Another letter received from JP Auto Recovery Services stating the same as earlier.

I looked up the registration number of the vehicle they cited in the letter , it was and still is not listed as a registered vehicle in Victoria.
https://www.vicroads.vic.gov.au/registration/buy-sell-or-tra…

25/09/2017: Another letter received stating same as earlier.

11/2017: A copy of the letter was hand delivered to me at home personally by a representative of JP Auto Recovery Services stating the same as earlier.

19/06/2018: Letter received in post from 'Nick Logan + Co' stating we have 'failed to respond to their previous correspondence'. (they have never sent us anything before)
Letter claims they have been unable to negotiate settlement with us nor our insurer. ( Our insurer has never been contacted by the owner of the other vehicle. We have never been provided with the other party's insurance details) .
Letter requests we contact our insurer to arrange settlement of their claim. Failing to do so we will be named as defendant in court proceedings. They still fail to mention what repairs or costs they are claiming for.

We researched the name on the letterhead and found this alarming article

https://www.smh.com.au/national/the-lawyer-the-smash-repaire…

22/06/2018: Contacted AAMI again about this recent letter. They told us all we can do is lodge a claim and pay them the excess due! We explained we don't want to lodge a claim as the damage is minor and doesn't require repair. Additionally, we do not accept fault in the case. AAMI representative was less than helpful, even when it was explained this recent correspondence was from a 'suspicious' entity and we would think they would have an interest in 'shutting this down'.

We have retained all copies of correspondence.

Also, what's the 'statute of limitations' on something like this. How can they be chasing 'recovery of costs' so long after the fact and with no details.

  1. They drove off from the scene to avoid any witness statements (my daughter also had a passenger in her car)
  2. They failed to provide any details at the scene
  3. The vehicle was/is not on the VIC registration database
  4. This latest letter is from an entity with dubious credentials and prior 'form'

Anyone have any advice on how to proceed with this? I am of the opinion it just needs a reply from a legal entity to highlight we are aware of their modus operandi.

To date, we've just ignored the letters because they have failed to provide any insurance details ( per AAMI ).

Paul.

Comments

  • The video "confession" is not admissable as evidence as it was done without your knowledge and was not recorded with suspicious of impending criminal action.

    As far as the court is concerned, some random dude just came up behind you and starting blaming you for damages and intimidating you into a confession. That's criminal.

    Or something like that.

  • +2

    Never expect empathy or impartial advice from an insurance company is all I have to add.

    Your experience is reminiscent of a scam a work colleague encountered and I understand what you are going through.

    I can offer no advice though.

  • +4

    Make a report with the police as they have initially drove off without exchanging details.

    That's a hit and run.

    Also, you can argue the confession was done under duress.

    Bottom line, lawyer up.

  • +1

    They are trying to get cash out of you, get a solicitor involved, advise them you have retained representation, have the solicitor send them a letter telling them to make a claim with their insurer, then wait it out. If they do not make a claim with their insurer you have nothing to worry about. If they do make a claim then its between their insurer and yours, and becomes a he said she said situation. In which case leave it in your insurers hands.

  • +2

    Report this to the Police and the letter to the Legal Services Commissioner.

  • That’s along process. Surely if they weee legit it would have been acted on a lot sooner.

  • +5

    100% a scam. This was spoken about on 774ABC radio a few months ago.

    https://www.heraldsun.com.au/leader/east/carnapping-lawyer-b…

    https://www.lawyersweekly.com.au/corporate-counsel/20672-sol…

    Unfortunately I cannot offer any advice. Might be worth ringing ABC774 as they have mentioned it before. They have a very good legal call-in/talkback segment on Tuesday mornings after 10am.

    Good luck with everything.

  • I am of the opinion it just needs a reply from a legal entity to highlight we are aware of their modus operandi.

    Are you going to a pay a lawyer to send them a letter?

    If that is the case then you might as well pay the excess and let AAMI handle it. (Worse case scenario)
    I am surprised why AAMI is expecting an excess if you are not claiming at fault. You can lodge an "not at fault" claim. They can decide who is at fault when they interview them. Let them figure out if they are scammers. They are good at smelling rats aren't they?
    What's the point of stressing and paying insurance?

    Once again, let the insurance handle it.

    You will sleep better.

    Tbh, it seems like you are getting stuff-all support from Insurance and Police.

    Good luck

    Cheers

  • Wow. Thanks for alerting us to this scam as not heard of it before. Sounds like they are playing the intimidation game and hoping you will be weak enough or stupid enough to pay to make them go away. Given they've not been game to contact your insurer directly and in the news article VCAT punished them, I'd be ignoring any further correspondence as they will likely give up. Or return the letter to sender and say "no longer at this address" or bluff that the police and your insurer have been contacted and advised you that it's a scam and not to pay so "good luck in court buddy".

    • Or return the letter to sender and say "no longer at this address"

      Do you think it's wise for the OP to lie?

  • +1

    Why do you think it's taking three years for the wheels to turn (2015-2018)? I'm curious…

  • probably worth letting your insurer deal with it
    best case, it's deemed not at fault and you get your excess back
    worse case, you pay the excess but save of legal costs (& headache)

    as an aside… it might be worth improving the security measures at your home since the baddies have your address

  • Really appreciate everyone's input.
    Latest update is we've engaged community legal services to advise on how to proceed before shelling out.

    Wrt insurance excess… my daughter is driving on my insurance so any claim involves an excess…or are you saying a 'not at fault' claim does nt attract the excess. We don't want to claim ore need to claim any repairs on our vehicle.

    Will check the ABC774 contact too

  • Status update.
    Met with community legal services who advised us it does appear suspicious considering the facts, changes of their representative and car rego, and they are still "assessing" cost of damages.
    We were advised to reply to them to see what they did next.

    They asked us for our insurance claim number.
    We told them there isn't one.
    They said "the law is very clear about lodging a claim with your insurer after an accident."

    In my opinion it is more accurate to say "notifying your insurer", I am not obliged to lodge a claim if I don't want to.

    So now we are considering how to respond to their latest correspondence to get them to cease contact.

    My thinking is they just want a claim number from us so they can claim whatever they like through our insurer, but we are not admitting blame, so haven't lodged a claim.

    Apparently they can pursue this claim for up to 6 years after the incident.

    I am also cinsidering notifying the Legal Services Commission about this issue, in case an employee of the disbarred member is still operating under the company in the same manner.

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