By rdnewsNOW staff

Fake insurance brokers

Alberta RCMP warn public of ghost broker scam

Nov 24, 2025 | 4:33 PM

Alberta RCMP are alerting the public to a scam involving fake insurance brokers and policies.

RCMP say a “ghost broker scam” recently took place in Ponoka following a vehicle collision where one of the people involved was a victim of insurance fraud.

The victim provided the pink card, which indicated the company All Covered Canada, only to find that the insurance company did not exist.

Police say ghost brokers are individuals who disguise themselves as insurance brokers under the false pretext of selling insurance. This means those who pay the brokers for these fake insurance policies are not insured at all.

To help protect yourself, police say it’s important to watch for red flags such as deals that are too good to be true.

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They often have no physical office or a suspicious online presence and are unable to provide proof of insurance immediately. They also charge a “finder’s fee” and ask for cash-only payments.

It is recommended that the public should always:

• Speak with an insurance professional who is properly licensed and qualified to sell insurance
• Only purchase insurance from a brokerage or agent you trust
• Confirm a specific insurance broker’s license status by referring to the licensing body within your province. For example, in Alberta, Albertans can check the Alberta Insurance Council to look up and confirm details of an insurance representative and the agency they represent.

If you believe you are a victim of or have information regarding ghost broker fraud, please call your local police. If you want to remain anonymous, you can contact Crime Stoppers by phone at 1-800-222-8477 (TIPS), by internet at www.tipsubmit.com, or by SMS (check your local Crime Stoppers www.crimestoppers.ab.ca for instructions).