Insurer highlights features of a potentially fraudulent claim
Norwich Union has highlighted some of the features that might suggest a 'crash for cash' incident. 'Crash for cash' is where fraudsters deliberately induce another motorist to collide with their vehicle in order to subsequently pursue false compensation claims.
Steve Shirley, Norwich Union's commercial motor risk manager, said: "Motor insurance fraud is becoming more and more sophisticated, frequently involving organised criminal gangs. There are various indicators that may point to a potentially induced collision. For instance, fraudsters will often use a hire car, or perhaps an older vehicle of low value. There is likely to be multiple occupants, usually male, in the 20-30 age range, displaying similar symptoms."
Shirley said: "The approach to a roundabout is a favoured location for an induced collision and the event is often characterised by sudden and unexpected braking, possibly brought about by an accomplice vehicle that fails to stop. Witnesses of similar age range may also conveniently be passing at the time.
"Generally, fraudsters are well versed in procedures, with their insurance details readily to hand. They are unsurprisingly not keen to involve the police.
He added: "More often than not, it is a combination of factors that generate suspicion and it is therefore vital that a broker advises clients to fully inform the insurer about the circumstances surrounding an incident.
"Whilst we encourage our policyholders to remain vigilant at the scene of an incident, to record detailed information and preferably to take photographs as evidence, this should all be undertaken in a non confrontational manner. Any concerns should be raised with Norwich Union or their broker at the time of reporting the claim instead."
