In 2023, insurers detected 84,400 dishonest insurance claims valued at £1.1 billion[1].  It’s thought that the rise in insurance fraud is directly linked to the increased cost of living across the UK[2].

At GoSkippy, your safety is our priority. Insurance scams not only have serious consequences for victims, they also drive up the cost of insurance for everyone. To help you stay protected, we’ve put together this guide on common scams and the steps you can take if you suspect you’ve been targeted.

4 Common Scams to Look Out For:

1. ‘Crash for Cash’: Criminals cause accidents, making innocent drivers appear at fault. They then file fraudulent claims against you. Watch out for sudden braking or misleading signals.

2. Fake Claims Management Companies: These fraudsters promise large compensation for a claim in exchange for a fee, then disappear. Always verify the legitimacy of any company before engaging with them.

3. Cloned Vehicles: Criminals steal the identity of a legitimate vehicle by copying its license plate, Vehicle Identification Number (VIN), and other details. They use this information to create a duplicate vehicle, often to sell it fraudulently.

4. Ad Spoofing: Fraudsters impersonate insurers with online adverts that have similar website addresses to legitimate insurers. This can lead you to mistakenly contact them instead of your true insurer.

Tips to Avoid Being Scammed:

• Be Extra Cautious: In residential areas and around junctions, especially if there are parked vehicles blocking your view. Fraudulent drivers can use these situations to ‘hide’ while waiting for their next crash-for-cash victim.
• Get Thorough Documentation: When buying used vehicles, insist on the V5C document and service history. Avoid cash transactions with strangers as this leaves no electronic paper trail.
• Stay Calm: Fraudsters may overreact or use high-pressure tactics to fluster or rush you into a decision. Stay calm, assess the situation, and avoid confrontation.
• Save Our Contact Details: Report insurance claims directly through our website or by calling us on 0344 840 9503. Only use these methods when making a claim.
• Be Mindful of Post-Accident Contact: Avoid engaging with companies representing the third party and keep contact with the third-party driver to a minimum. Once you’ve reported the matter to your insurer, we’ll handle it from there.

How to Report Insurance Fraud:

Seen something suspicious? Report insurance fraud confidentially and anonymously to the Insurance Fraud Bureau via its confidential Cheatline on 0800 422 0421 or online.

Stay vigilant and stay safe with GoSkippy! If you have any concerns or need assistance, don’t hesitate to reach out to us.

[1] No let up in crack down on insurance cheats as industry detects £1 billion worth of fraudulent claims | ABI

[2] Police warn of rise in bogus insurance claims as people turn to fraud amid cost of living pressures | City of London Police