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News: Rise in fraudulent claims on car insurance News: Rise in fraudulent claims on car insurance

Rise in fraudulent claims on car insurance

By Tom Farley, Fri 13 Jan 2012 - Published in Car Insurance

Rise in fraudulent claims on car insurance

Doctors have reported a rise in people attempting to claim compensation on their car insurance from exaggerated or invented injuries.

Research by LV= found that almost two-thirds of GPs (60 per cent) saw an increase in the last two years of people feigning injuries to claim a fraudulent pay out on their insurance policy.

Nearly nine out of ten (87 per cent) GPs say at some point they have seen someone who was completely making an injury up and almost all doctors interviewed (96 per cent) said they have been visited by someone they thought was exaggerating an injury.

In the past three years, LV= car insurance has seen an increase in the number of whiplash claims where the circumstances were deemed to be suspicious and estimates that 15 per cent of whiplash claims received in 2011 were potentially fraudulent.

John O'Roarke, managing director of LV= car insurance, said: "Attempting to make a compensation claim when you do not have an injury is against the law and could lead to a hefty fine or prison sentence."

The AA recently reported that car insurance claims have increased by 28 per cent for January 2012 from the previous yea

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