Young drivers' car insurance news -
27/04/2009
Motor cover fraud widespread in UK
Young driver insurance and cover for other motorists are being forced up in price by widespread vehicle insurance fraud across the UK.
Many false claims are being made around the country and a list of the ten towns and cities with the highest rate of suspicious activities has just been published.
Fraudsters often stage fake car crashes to cash in on insurance payouts, intentionally causing accidents with innocent motorists.
Many then go on to try to earn more compensation by inventing injuries such as whiplash.
In the study by law firm, Keogh's, it was revealed that many fraudulent collision claims were coming from towns bordering known trouble spots.
The ten places featuring in the new league of shame for car insurance fraud are: Chester, Huddersfield, Leicester, Romford, Sheffield, South East London, Stockport, Stoke-on-Trent and Wolverhampton.
Counter fraud strategy chief at Keogh's, James Heath, said, "Our Motor Fraud Index clearly shows that the regions with the highest levels of suspicious claims activity in the past are still plagued by the problem."
So for cheaper young driver insurance quotes and premiums, motorists living outside these areas are more likely to enjoy competitive prices.
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