The insurance sector has been using false data to blame recent hikes in motor insurance premiums on road traffic accident claims.
The Insurance Fraud Bureau (IFB) has been accused of manipulating reports from police constabularies in an effort to highlight ‘crash for cash’ scams. These scams, whereby criminal gangs orchestrate fake accidents purely to claim compensation, have become increasingly apparent over the past few years but the effect they had on insurance premiums has been grossly overestimated.
1 in 7 RTA Claims Fraudulent
The data, which some solicitors have described as ‘bogus’, allegedly demonstrated that 1 in 7 road traffic accidents involved a crash for cash crook. A thorough analysis of the report issued by the IFB, however, has revealed that the prevalence of crash for cash claims is far lower than they would like you to believe.
5 Biggest Police Forces Fail to Provide Data
As a direct result of 8 Freedom of Information requests, the Scotland, Northern Ireland, Greater Manchester, City of London and Thames Valley police forces were not asked to provide data relating to crash for cash cons, despite being five of the largest police forces in the United Kingdom. Of those who were asked to contribute, the South Wales and West Midlands forces refused.
This drought of data cannot validate the IFB’s claims that the compensation culture is solely responsible for the £400,000,000.00 in premium increases that are passed onto motorists year on year.
Compensation Claim Today Responds
We accept that there are difficulties associated with the collection of data related to criminal activity – after all the crash for cash scams were designed to go unnoticed – but the strength of the assertions made has only succeeded in highlighting the lengths the insurance industry is willing to go to in passing the buck.
Unsurprisingly, the IFB is standing by their claims.