AFP tackles growing insurance fraud

A nine-point plan for fleet drivers designed to minimise the chances of becoming a victim of insurance fraud has been issued by the Association of Fleet Professionals (AFP).

Created by the organisation’s Risk and Compliance Committee, it provides practical guidance that could help to contain premiums in the future.

Martin Evans, chair of the committee (pictured), said: “For 2023, the most recent year for which figures are available, fraudulent car insurance claims topped £500 million – up 8% on the previous year [ABI] – and feedback from AFP members supports the idea that this is a growing issue.”

“These fleets are especially concerned about not just the disruption that fraudulent accidents cause but about the impact on their premiums. The only solution is to work to control and reduce the number and cost of claims you are making.”

He explained that company car and van drivers needed to be aware of the potential of being caught up in a fraudulent claim, something that could be better understood by knowing more about the techniques used by fraudsters.

“For example, these criminals will typically target lone drivers or commercial goods vehicles. Lone drivers present only one witness to counter the fraudsters’ claim and commercial vehicles are pretty much guaranteed to have valid insurance, making them a better target.”

The nine-point plan is:

Keep enough distance between you and the vehicle in front in case it brakes hard to a dead stop for no apparent reason.
Be aware of vehicles approaching from behind that could potentially be lurking in your blind spot, waiting for you to pull out and cause a collision.
Maintain safe distances at roundabouts to mitigate against the risk of a vehicle in front suddenly moving into your lane before you can brake.
Watch for motorcyclists aiming to cause collisions by driving directly into vehicles making a right turn at a junction. Riders will suddenly increase speed to ensure there is little the driver can do to avoid an impact.
Use caution when other motorists flash their headlights to let you pass – they may then intentionally crash into you.
Never use your phone while driving – not only is it illegal but the fraudster just needs to drive into your vehicle and claim you were not paying due attention. You’ll face a claim as well as points on your licence.
Keep a sensible distance from vehicles travelling suspiciously slowly, those that speed up and slow down for no apparent reason, or those whose occupants are paying close attention to you – it may be a plan to lure you into a pre-meditated incident.
Watch for vehicles in poor condition with signs of prior accident damage, particularly to the rear end, such as faulty lights.
Consider adopting dashcams. These can help defend against fraudulent claims by providing real world evidence.

The AFP Risk and Compliance Committee is also promoting awareness of the Insurance Fraud Bureau (IFB), a not-for-profit organisation established in 2006 to lead the insurance industry’s collective fight against insurance fraud.

Martin said: “The IFB act as a central hub for sharing insurance fraud data and intelligence, using their position at the heart of the industry to compile data to detect and disrupt organised fraud networks.

“They will aim to help if you or your driver has any concerns or suspicion about being the victim of a fraudulent incident or if you hear of people or businesses involved in setting up these scams.”

The IFB Cheatline telephone number, for reporting insurance fraud, is 0800 422 0421, or you can visit www.insurancefraudbureau.org.