Member Article

Insurance fraud costs £18m per week

Fake Insurance claims are costing the UK an average of £18 million each week, according to the Association of British Insurers.

It is reported by the BBC that this totalled 133,000 claims, of which 66,000 related to home insurance, and 40,000 were to do with motor fraud.

It has been estimated that fraudulent claims cost an extra £2 billion annually, and on average add an extra £44 to each insurance policy.

The number of frauds being detected has risen by 100 percent over the past 5 years, mostly due to tougher surveillance measures to tackle bogus claims.

Next yeah a national database, the Insurance Fraud Register, will be set up to list the names of all known insurance cheats. The national police are also launching a unit to investigate this fraudulent behaviour.

This was posted in Bdaily's Members' News section by Ruth Mitchell .