Staveley Head

Staveley Head

July 01, 2009 04:00 ET

Staveley Head: Bradford Is the New Capital of Fake Insurance Claims

FLINT, UNITED KINGDOM--(Marketwire - July 1, 2009) - Traditionally, Blackburn has held the number one spot in the Insurance Fraud Bureau's (IFB) "cash for crash scam" league table. But according to figures released last month by the IFB, Bradford has nudged the league leaders into second place. However, Lancastrians can still hold their heads high in this Battle of the Roses because Lancashire towns Oldham and Liverpool came third and fourth in the table.

The "crash for cash" scam is perpetrated by highly organised criminal gangs who stage collisions with unsuspecting motorists and then claim damages from the innocent party's insurance company. A common method which fraudsters use is to manoeuvre a car in front of a targeted vehicle and then brake sharply, causing a collision. This could be on a motorway junction whilst travelling at high speed, or at slower speeds at traffic lights or a roundabout.

A spokesman for Staveley Head, one of the UK's leading van insurance providers, said "The fraudsters' preferred target vehicle is a commercial vehicle because he can be fairly confident that a commercial vehicle will be insured, and, as a bonus the driver will probably not have any personal or emotional attachment to the vehicle. Other circumstances which might trigger suspicion are if the incident occurs at a roundabout or junction, especially during the hours of darkness when there is fewer witnesses about. If there is multiple claims for passengers' personal injuries which are out of proportion to the scale of the accident or if fictitious passengers are added to the claim list."

According to the IFB these "crash for cash" scams cost the insurance industry Pounds Sterling 300 million a year, and add an extra 5% to every premium, thereby costing the average policyholder an extra Pounds Sterling 40.

Informed opinion suggests that the influx of accident management companies into the Yorkshire area in recent years is largely responsible for the proliferation of these criminal activities. There is a total of 1,800 accident management companies operating in the UK, and of these 180 are based in West Yorkshire. Detective Sergeant Ben McDonald of Airedale and North Bradford CID told the Insurance Times "There is a massive link with the amount of accident management companies in the area and the number of fraudulent claims that have been committed."

Richard Davies, Deputy Chairman of the IFB believes that a number of these criminal gangs may have formed questionable relationships with solicitors, doctors and vehicle examiners in order to enhance the size of their claims and increase the pay-out from the insurance company.

Staveley Head is one of the country's leading van insurance brokers and will give you all the advice and assistance you need regarding this matter, including a very competitive van insurance quote, if you log onto their website at www.staveleyhead.co.uk.

For further information on any aspect of commercial vehicle insurance or to enquire about cheap van insurance contact Staveley Head.

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