Experts warn against crashing for cash

Experts have warned motorists against making false car insurance claims after it has emerged that millions of British motorists have staged, deliberately caused or fabricated car accidents in order to benefit from an insurance pay-out.

According to data released by a leading finance portal, an increasing number of British motorists have made car insurance claims during the recession, with up to one in 20 young drivers thought to be guilty of staging or inventing a road accident with the sole intent of making a car insurance claim.

The research shows that 1.3 million or four per cent of motorists would readily consider staging or fabricating a road accident, while it's believed that two per cent of car owners may have already done so.

Of the two per cent of drivers who have 'crashed for cash', 44 per cent were staged - meaning two motorists agreed to knock into one another in order to make dual claims, 24 per cent were contrived - meaning accidents were alleged to have happened which in-fact didn't, and eight per cent were induced - meaning drivers had braked suddenly causing innocent drivers to crash into them.

Peter Harrison, an insurance expert, urged motorists to avoid acting fraudulently while commenting on the worrying new trend.

Mr Harrison explained that fraudulent motorists risk their own safety and that of other road users, and could face penalties, prosecution and highly expensive car insurance after being found to make a fraudulent car insurance claim.

Earlier this year, experts advised the creation of a specialist unit to help deter cash for crash perpetrators.

Wed, 13 Jul 2011 08:49:00 GMT