Insurance fraud costing us £44 extra per year
News that the cost of fraudulent insurance claims was costing each insured person an additional £44 a year comes just as a criminal gang of six has been arrested. The cost of motor claims was said by insurers to be the most expensive to the industry as fraud investigators step up their vigilance and detection techniques.
The six people have all been charged in connection with a “crash for cash” operation located in Lancashire. All six people are from Burnley, one woman and five men will appear in court in February and will be charged with fraud by false representation. The investigation goes back to the early part of 2010.
This case follows on from a case involving a previous gang who also lived in Lancashire involving two men who ran North West Claims Centre managing insurance claims. The gang were investigated after office workers nearby witnessed a particular motorist constantly becoming involved in minor motoring accidents by a roundabout. The two brothers and there associates were said to have orchestrated around 80 collisions.
The list of crash for cash locations is topped by Birmingham followed by Liverpool and Manchester.
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