Over the last few months we have seen a dramatic increase in claims from clients who have been affected by some kind of online scam. Whilst some crime types have decreased others increased as criminals exploit a move to online shopping.
Many customers turned to online shopping or trading on popular community platforms during lockdown. Settling payments on apps, criminals enhanced their efforts to phish customers to steal their personal data to defraud them on these platforms.
It is more than common knowledge that scams and crimes are on the rise in South Africa and what seems to be, now very common, is a proof of payment. You receive confirmation that you have been paid and you willingly part with the item you have sold. Problem is you have not been paid, it was all part of an elaborate scam.
Many affected parties then turn to their insurers and this is when you are told that Insurers will not cover the following:
Any loss or damage, injury, liability or claim that arises from an dishonest act, theft by false pretense’s or fraudulent act or representation of a third party.
What it means is that there is no cover afforded to an incident where items are stolen as payment was not received. This would fall under a theft by false pretense exclusion so verify with your bank that you have received the money before you part with the item you are selling.