CIFAS, a not-for-profit membership association dedicated to fraud prevention, recored over 236,500 cases of frauds during 2011– the highest number ever recorded. That was a 9% rise on 2010.
ID fraud and facility takeover fraud, where a trickster takes over a person’s mobile phone, bank account and credit card, were two types of fraud on the rise.
However, the good news for insurers, who took a tough approach to fraud last year, is that the number of false insurance claims fell 26.3% in 2011 compared to 2010. Cases fell to 396 from 537.
Research by Insurance Times has shown that 70% of industry respondents believe insurance fraud increased last year.
For example, Allianz Insurance recorded a rise in household fraud last year and predicts it will get worse.
“Last year we detected an increase in household insurance fraud, now at 24%,” said fraud manager Mihir Pandya.
“Within an environment of rising costs and unemployment this is a trend that we only feel will get worse before it gets better.”
1. Not understanding the different types of home insurance
The first thing to realise is that there are two, very distinct, types of …
6 Sep 2018
The Co-op Group, Britain’s most prominent mutual, is exploring the sale of its general insurance operations for about £300m amid accelerating changes …
2 Aug 2018
One year after winning an award at the National Family Business Awards, independent and family-run Ashbourne Insurance returned to the event as …
18 Jul 2018