Perhaps it's time that insurance companies start taking a closer look the policies they dole out. San Francisco-based Quality Planning agrees, and that's why the company works with insurers to help cut down on some of the fraud found throughout the industry. One area that's a bit surprising? The amount of luxury cars that wind up covered as farm equipment.

Auto insurance companies typically offer discounts for vehicles that are exclusively used on or near farmland. There's less traffic, and therefore it's less likely that the vehicle will be involved in an accident. Quality Planning took a look at approximately 80,000 vehicles insured as farm equipment, and found that nearly eight percent might not be sowing any oats.

One enterprising "farmer" listed their Audi A4 as farm equipment, despite the fact that his or her slice of land was located in Brooklyn, New York. Checking the farm equipment box netted the owner a savings of $389 per year. Another "farmer" classified their Cadillac Seville for special use, despite living in Los Angeles. The Caddy owner was saving $61 per year.

Those figures don't sound like a lot in an age of expensive car insurance. That's not the case, however, when you step back and examine the fraud as a whole. All told, people reportedly scam the auto insurance industry out of $150 million per year. We know you don't feel too bad for them, but you'll probably get a little ticked off when you realize that money is recouped on the backs of honest car-insurance-paying folks like yourself.


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  • 29 Comments
      Synthono
      • 3 Years Ago
      So that explains the M3 Pickup then.
        • 3 Years Ago
        @Synthono
        [blocked]
      ammca66564
      • 3 Years Ago
      Never, oh honest ones: when Mr.Brooklyn Audi gets in a wreck in Manhattan in is A4 tractor, and State Farm notices he's insured it for 'farm use', they're going to deny his claim. And then take him to court for insurance fraud. These people aren't gaining anything in the long run.
      mrebeling
      • 3 Years Ago
      Unfortunately, some people are pieces of crap. It makes me wonder what else they cheat on. They are liars like the people that use a Handicapped Sticker that are no more handicapped than I. They use all kinds of BS excuses like "I have a bad heart". My cardiologist says walking is good for people with heart problems. Liar, liar, pants on fire! Lazy SOBs is more like it.
      kelvin273c
      • 3 Years Ago
      Farm use isn't as clear cut as not located on a farm at all times.
      diffrunt
      • 3 Years Ago
      What if one's accident does not occur on the " farm"?
      Robert Kim
      • 3 Years Ago
      And, how much money is the insurance company scamming out of the consumer?
      • 3 Years Ago
      [blocked]
        • 3 Years Ago
        [blocked]
      mgarach
      • 3 Years Ago
      Insurance is an entire industry built around who can be the biggest ******* anyways... f them.
      Mr. Sunshine
      • 3 Years Ago
      "Another "farmer" classified their Cadillac Seville for special use, despite living in Los Angeles. The Caddy owner was saving $61 per year." $61 a year? That is a scam not worth checking the box for.
      mrebeling
      • 3 Years Ago
      Nick, Sounds like you agree with scaming insurance companies. A lie is a lie, and a cheat is a cheat. I pay for car, home, health, and life insurance and don't intend to cheat them or anybody.
        • 3 Years Ago
        @mrebeling
        [blocked]
      ayesha.n12
      • 3 Years Ago
      for more information on cars please visit us. http://customengines.blogspot.com
      nsk
      • 3 Years Ago
      Come on, Autoblog. "Quality Planning took a look at approximately 80,000 vehicles insured as farm equipment, and found that nearly eight percent might not be sowing any oats." EIGHT PERCENT? So 8% of the surveyed group "might not" be using their vehicles in connection with farms. This is not significant. What IS significant are the staged crashes that auto insurers receive every day. Talk to a claims adjuster in a big city.
        Papi L-Gee
        • 3 Years Ago
        @nsk
        Eight percent comes out to 6,400 cars, or more than Infiniti sold all last month. Can't really be that insignificant, especially given the cost of auto insurance in NY or LA
          MCA
          • 3 Years Ago
          @Papi L-Gee
          When you consider the total number of cars in the US, 6,400 cars is completely insignificant.
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