Crash for cash fraudsters 'moving out to the country'

Friday, 28 October 2011 02:29

Direct Line has revealed crash for cash fraudsters are operating more frequently in rural areas.

The insurer's annual analysis of the UK's top ten hotspots for the scam, which involves causing fake accidents by making unnecessary emergency stops at busy roundabouts or slip roads, showed four countryside locations on the list.

According to Direct Line, this trend is worrying because of the higher average speeds on rural roads than in urban areas.

London and the south-east took the top three spots on the list, with the north west accounting for a further three.

Paul Hubbard, head of counter fraud operations at Direct Line, said: "Crash for cash scams pose a significant risk to public safety. As well as adding to the cost of insurance, they delay payouts on genuine claims as any reported accident at a known scam site has to undergo additional investigations.

"Just the actions of a few, can cost motorists a significant amount of money and pose a real threat to people's lives," he added.

Crash for cash schemes are thought to cost insurers up to £350 million a year, the company revealed.

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