‘They knew my policy number’: The rise of fake insurance agents and how to spot them

Most people, however, aren’t so lucky.

A convincing con

Across the country, scammers are posing as insurance agents, and they are armed with enough personal details about potential victims to sound legitimate. They often call with alarming urgency: a missed KYC update, a lapsed policy, or a payment “authorised” by a family member. Some fraudsters even claim they have spoken to the victim’s parent, spouse, or child, and that the family member has asked to pay the month’s premium. Many fall for this.

Arya Tyagi, cybersecurity researcher and founder of Webhack Solutions, explained why these scams work. “They sound exactly like legitimate insurance reps we are used to. Some even hire trained telecallers to lend credibility.”

According to Manish Mishra, founder of GenZCFO, the illusion of legitimacy is often disturbingly thorough. “The scammers use professional language and with the data they have, they manipulate victims into divulging information,” he said, adding that they often ask for OTPs, policy numbers, and even bank account details under the pretext of processing claim payments or preventing policy lapses.

Tyagi said older people tend to fall for such calls more. “The elderly tend to believe the scammers and end up buying policies through these fake agents. In many cases, the scam continues for years, because victims rarely verify the agent’s identity or check if the company is genuine,” he said.

How do fraudsters access your insurance information?

This is a question that rattles most victims: how did the scammer know their policy details?

“Personal data leaks are rampant. Sometimes it’s from the dark web, at times through legal but unethical data selling. Even the Ministry of Corporate Affairs website can unintentionally assist scammers, business registration details are public, and fraudsters use them to target people with fake financial offers,” Tyagi said.

Mishra also said that phishing emails, compromised service providers, and unsecured databases are other common entry points. “A simple job application submitted to a fake company site can be enough for scammers to harvest your identity,” he said.

Once they get your information, they build a script around it, and call when you’re least expecting it.

Senior citizens are often easy targets

Senior citizens remain the most frequent and the most vulnerable targets. Retired government officials, in particular, are singled out for their pensions and long-held policies. “Scammers assume older people aren’t tech savvy. They’re often more trusting and less likely to verify calls,” said Tyagi. 

Mishra said, “Elderly customers fall for claims around bonus pay-outs, maturities, or KYC suspensions. These are usually urgent-sounding and emotionally pitched. Families must stay alert and help older relatives verify every unfamiliar interaction, no matter how official it sounds.”

How to spot a scam in progress

📌Be cautious of unsolicited calls asking for bank account details, PAN Card details, Aadhaar numbers or OTPs or other sensitive information.

📌Common signs of a scam include promises of unusually high returns or profits and pressure to act quickly due to deadlines. The calls may also include threats or warnings.

📌Watch out if the caller is getting aggressive, refusing to share an official email ID, or avoiding written communication altogether.

📌Check for grammatical errors in the conversation, or spelling mistakes on emails and messages.

📌Verify the websites the caller directs you to. Check if the email domain or website link matches the official company’s URL

Verify the identity of the insurance agent:

🎯Confirm whether the person is actually employed by the company.

🎯Verify any information with the insurance company’s official call centre and cross-check toll-free numbers before responding.

🎯Visit the company’s official website and verify its authenticity.

🎯Use tools like Whois.com to check the domain registration date –– it shows how old the website is.

🎯Speak to 2–3 different employees about the same policy to spot inconsistencies in how it’s being pitched.

🎯Before making any payment, always check the name of the bank account holder, make sure it matches the official company or agent name.

🎯If you’re getting frequent spam or scam calls, go to your phone’s call settings and enable “Block Unknown Callers” to automatically block numbers not saved in your contacts.

🎯Avoid sending insurance documents digitally, trusting suspicious communication, or ignoring your instincts—always pause and verify if something feels off.

What to do if you fall prey to an insurance scam

Act quickly if you shared personal details or spoke to a suspected fake insurance agent.

📍Report any type of cybercrime at: http://www.cybercrime.gov.in, India’s official cybercrime reporting portal.

📍To check if your personal data has been exposed in a data breach, visit: http://www.haveibeenpwned.com

📍Call your insurance company immediately to report the issue.

📍Monitor your insurance and bank accounts closely for any unusual activity.

📍If money has been taken, inform your bank and insurer right away to try and stop further transfers.

📍Inform your family members so they can avoid falling for similar scams.

📍Enable multi-factor authentication on all important online accounts.

Online scams of several types are on rise, but remember, never share personal details like OTPs, account numbers, or passwords over unexpected calls, emails, or links.

 The Safe Side:

As the world evolves, the digital landscape does too, bringing new opportunities—and new risks. Scammers are becoming more sophisticated, exploiting vulnerabilities to their advantage. In our special feature series, we delve into the latest cybercrime trends and provide practical tips to help you stay informed, secure, and vigilant online.