Daily Insurance Industry News
 
 
Daily Insurance Industry News
Friday 20th of April 2018
September 17, 2012

One in 14 car insurance claims are fraudulent

by Richard Kilner

Story link: One in 14 car insurance claims are fraudulent

The record rise in motor insurance fraud is due to phantom passengers and fake injuries, according to the Association of British Insurers (ABI).

Each week 865 dishonest motor insurance claims worth £10.4m are being found by insurers.

The figures have been released a week after the ABI launched a new national database to help combat fraud – The Insurance Fraud Register.

Last year 45,000 motor insurance claims were fraudulent, and the savings made by detecting these fake claims totalled £541m.

Shockingly, one motor insurance claim in 14 (7%) is fraudulent.

Director of General Insurance Nick Starling warned would-be fraudsters that insurers would do whatever it took to weed out the cheats.

Starling went on to say that the new Insurance Fraud Register would enable insurers to check for fraudsters, and those found guilty of it would find getting insurance more difficult and more expensive.

 

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