'Cash for crash' sees rise in car insurance fraud
It seems today that people will do anything for a bit of cash. The current economic climate is tough on a lot of people, but there’s a new craze which, well, can only be described as crazy!
So what is this latest car insurance scam? "Cash for Crash." Scammers are targeting innocent motorists and staging crashes in a bid to defraud insurers out of thousands of pounds. The scam involves criminal gangs intentionally staging road accidents.
To avoid such action, its advisable motorist be extra vigilant on the roads and not become a victim of this latest car insurance scam. It is estimated that the cash for crash scams cost the insurance industry over £200 million a year, and it is British motorists who are feeling the consequences with skyrocketing premiums.
Two of the most common ‘stunts’ involve slamming on breaks causing an innocent driver behind to plough in to the back of the vehicle and the other involves scammers pulling out at T-junctions forcing oncoming cars to smash into the side of them.
These staged car crashes are on the rise and not only does it cost the industry thousands of pounds and causes
car insurance premiums to go up more but importantly it puts innocent lives at risk.
A list of ways to spot a staged crash:
It will usually occur at a roundabout or at a busy junction
The car may have been following you
The car will break suddenly for no apparent reason
There will be hugely inflated claims for damage and injuries
There may be bogus witnesses, mechanics and doctors to back up the claims
If you think that you’ve been the victim of a crash scam, make sure you get the names and telephone numbers of any witnesses at the scene, as these can help validate your story during the claims process. The last thing you want is to be found at fault, as this can increase your car insurance premiums.
Your best bet is to always maintain a safe distance between you and the car in front, and be wary of cars pulling out at T-junctions and approach with caution.