What do AI voice clones, $3,000 in wired cash, a lost wedding ring, and a Toledo prison have in common? This episode on the coverage issues presented when a family member– or a business– falls for a scam. The team discusses the various types of scams out there and what may and may not be covered under most insurance policies.
Notable Timestamps
[ 00:18 ] – Grandma got a call from someone claiming to represent a charity. She wired $3,000 to an overseas account. Her family researched and found the company did not exist, and helped her file a claim with her insurance company.
[ 01:15 ] – Mike & Alissha discuss their personal experiences with scams of this nature, and Tim warns of the dangers of A.I. voice clones.
[ 05:21 ] – Banks don’t always refund money in situations like this, drawing a distinction between “scams” and “fraud.”
[ 08:38 ] – Money is considered personal property under Coverage C, but it is typically subject to a special limit, recently in the range of $200 – $300. This likely still applies even if the money is not physical cash, but electronically held or wired funds. Cryptocurrency, commonly used in these types of scams, may not be considered money.
[ 11:36 ] – Insurers do not distinguish between “scams” and “frauds” when it comes to “theft.” The intent to deprive the insured of their possession qualifies it as a theft.
[ 14:36 ] – Tim discusses a tangential scenario where a wedding ring is lost in the insured’s luggage.
[ 15:35 ] – Commercial policies do have an exclusion for “voluntary parting,” holding businesses to a higher standard than homeowners.
[ 17:15 ] – Tim provides a recap of the scenario and the points above.
Your PLRB Resources
Homeowners annotation on theft – https://search.plrb.org/?dn=135&src=gsa
CE course on Special Limits of Liability – https://www.plrb.org/public2/dislearn…
Voluntary Parting of Money by a Wire Transfer Scam – https://search.plrb.org/?dn=58693&src…
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Legal Information
The views and opinions expressed in this resource are those of the individual speaker and not necessarily those of the Property & Liability Resource Bureau (PLRB), its membership, or any organization with which the presenter is employed or affiliated. The information, ideas, and opinions are presented as information only and not as legal advice or offers of representation. Individual policy language and state laws vary, and listeners should rely on guidance from their companies and counsel as appropriate.
Music: “Piece of Future” by Keyframe_Audio. Pixabay. Pixabay License. Font: Metropolis by Chris Simpson. SIL OFL 1.1. Icons: FontAwesome (SIL OFL 1.1) and Noun Project (royalty-free licenses purchased via subscription). Sound Effects: Pixabay (Pixabay License) and Freesound.org (CC0). https://pixabay.com/sound-effects/tel… https://thenounproject.com/icon/thief…