DMV New York Warns Drivers About Surge in Staged Car Crashes, Urges Defensive Driving

The New York State Department of Motor Vehicles (DMV) is warning drivers about a significant rise in staged car crashes, a form of insurance fraud commonly known as “crash for cash.” The agency is urging motorists to adopt defensive-driving practices to avoid becoming victims of such scams.

DMV Commissioner and Chair of the Governor’s Traffic Safety Committee, Mark J.F. Schroeder, emphasized the dangers posed by these fraudulent activities. “When someone intentionally causes a crash to collect insurance money, it’s called a staged crash, which is a form of insurance fraud,” Schroeder said. “By practicing defensive-driving habits, such as anticipating other drivers’ actions, not tailgating, and being prepared to react quickly, New Yorkers can avoid being victims of fraud.”

According to the Insurance Information Institute, staged crashes have significantly contributed to the rising cost of auto insurance, increasing the average premium by approximately $100 to $300 per year. New York ranks among the states most affected, reporting 1,729 staged crashes in 2023—a 14% increase from 2022 and a 34% increase from 2021.

Given the state’s high traffic volume, these fraudulent schemes remain a persistent issue, particularly in densely populated areas where traffic congestion makes sudden and deceptive accidents easier to stage.

While predicting the actions of other drivers is impossible, the DMV highlights defensive driving as the most effective method of self-protection. The agency provides an online driver’s manual and practice tests to help drivers sharpen their skills.

Being prepared and staying alert behind the wheel is crucial. Drivers should keep both hands on the wheel at all times and anticipate mistakes by other road users, including pedestrians and bicyclists. It is important not to assume that drivers at STOP or YIELD signs will actually stop or yield. Maintaining a safe speed and signaling before turning or changing lanes can also help prevent collisions.

Keeping a safe following distance is another essential aspect of defensive driving. Four out of every ten crashes involve rear-end collisions, often caused by tailgating. Wearing a seatbelt at all times is a simple yet effective safety measure. Additionally, drivers should avoid operating a vehicle under the influence of alcohol, drugs, or medications that cause drowsiness.

Regular vehicle maintenance ensures that brakes, tires, and lights function properly, reducing the likelihood of accidents. Finally, refraining from using handheld mobile devices while driving can minimize distractions and improve overall road safety.

New York drivers can further enhance their road safety by enrolling in a DMV-approved defensive-driving course. Completing such a course offers multiple benefits, including refreshing driving knowledge, reducing up to four points from a driver’s license, and receiving a 10% discount on auto insurance premiums for three years.

If a driver is involved in a crash, the DMV recommends taking immediate action to prevent fraud. Calling the police and notifying the insurance company is the first step. Drivers should also take clear photos of damage to all vehicles involved and obtain the other driver’s license plate number and insurance details.

Recording the contact information of passengers in the other vehicle is another crucial step. Additionally, drivers should never give cash to the other driver, as this can be a sign of a staged accident scam. Caution should be exercised when dealing with unsolicited tow truck services, and individuals who suddenly appear at a crash scene offering legal or medical assistance should be viewed with suspicion. Lastly, filing an official crash report with the DMV ensures that proper documentation is in place.

The New York State Department of Financial Services (DFS) provides resources on common auto insurance scams, including staged accidents and inflated claims. Drivers can find guidance on recognizing and reporting fraudulent activities through the DFS website.

As staged crashes continue to rise, the DMV stresses that vigilance and defensive driving remain crucial in ensuring road safety and preventing fraudulent schemes. By staying alert and following defensive-driving practices, New York motorists can protect themselves from both accidents and unnecessary financial losses.