You are here: Home - Insurance - News -

Fraudsters stage 300,000 car crashes in five years

Written by:
Fraudsters have staged more than 300,000 car accidents in the past five years, a study has revealed.

The report by LV= car insurance found that 30,000 motorists have been a victim of a ‘slam-on’ scam in the past year, where the driver in front slammed on their brakes for no apparent reason causing them to crash.

One in thirty motorists were involved in a ‘flash for cash’ scam in 2013, where the fraudster flashed their headlights at the victim to let them merge into traffic, but drove ahead and crashed into the back of their vehicle.

Another tactic used by fraudsters is taking a car-load of passengers out on the roads, inducing an accident with another vehicle and then making multiple claims for personal injuries.

The research found fraudsters tend to target females and the under 35s as they believe they are less likely to challenge the insurance claim – in the past two years, almost two thirds (65%) of victims were female and 59% were aged 34 or younger.

In addition to staging accidents, LV= saw a marked increase in fraudsters exaggerating the circumstances of an accident in an attempt to gain a higher payout.

One in three (32%) drivers who have been involved in an accident in the past two years said the other party tried to claim compensation for injuries to passengers who weren’t in the vehicle at the time or said the other party exaggerated the circumstances of the accident in order to inflate their claim.

John O’Roarke, managing director of LV= car insurance, said: “Every year there are tens of thousands of staged accidents, which are putting the safety of innocent motorists at risk. Fraud is not a victim-less crime and the cost of paying fraudulent claims drives up the cost of car insurance for all.”


Tag Box

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Everything you need to know about being furloughed

Few people had heard of ‘furlough’ before March 2020, but the coronavirus pandemic thrust the idea of bein...

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

Coronavirus and your finances: what help can you get in the second lockdown?

News and updates on everything to do with coronavirus and your personal finances.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
Cheap ways to entertain the kids this half term

We bring you some of the best free activities and top deals to keep your kids occupied during the holidays.