Don’t fall for Pay My Deductible offer for auto accidents

Insurance Commissioner Mike Kreidler is alerting Washington consumers to be wary of any solicitation from the Pay My Deductible Club, which offers to pay your auto insurance deductible if you are involved in an accident.

Several payment options, including a lifetime membership, are offered to join the club and become eligible for the deductible payments.

The company claims to be based in Beverly Hills, CA. However, the firm is not licensed in Washington and is not authorized to do business here.

Although the company claims its deductible benefit is not insurance, the commissioner sees otherwise. To offer this product in Washington, the firm would need to apply for and receive approval to operate as a property and casualty company.

Other states have also alerted consumers about Pay My Deductible.

Some tips to consider if you do receive a solicitation from Pay My Deductible or any other company seeking to sell you an insurance product or one that sounds like it could be insurance:

• Check the Washington Secretary of State’s website to see if the company is registered.
• Search our website to determine if the company is authorized to sell insurance in Washington.
• Check the company’s website. If you get an error message such as “under construction” or that the security certificate is registered to another entity, consider those red flags.
• Don’t give out any bank account information if you are suspicious about a company.

If you've received an offer for this product, please contact our office and we’ll investigate.