Calls for Staged Accident Strategy

by Gill Montia

Story link: Calls for Staged Accident Strategy

The Government is being called upon to considering its lack of strategy in countering the increase in staged accident. Nigel Evans, MP for Ribble Valley, and Andrew George, who represents St Ives, have both demanded a UK-wide action plan to be drawn up to address the issues surrounding staged and induced motor accidents.

Both the Insurance Fraud Bureau and AXA UK have worked to raise awareness of the impact of this kind of crime, which is still on the increase, particularly in North West England. The MP’s claim that a lack of resources has let to a poor detection rate and they have called on the Government to work with the police, the insurance industry and other authorities to draw up a nationwide action plan.

Research produced by the Insurance Fraud Bureau indicates that since 1999, over 22,500 fraudulent staged and induced motor accidents have taken place in the UK. Whilst the crime was first detected in the North West, the research suggests that it is growing in London and the South East.

Typically fraudsters will drive to a busy road junction and perform a dangerous emergency stop designed to cause other drivers to crash into them. Claims are then made on the innocent party’s insurance that will include fictitious injuries. Criminals can gain up to £30,000 for such an incident.

Currently, fraudulent insurance claims are estimated to add 5% to the premiums paid by policyholders.