How Good Drivers can Fight Back Against Fraudsters

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Coversure say despite motor insurance going up there are still deals to be found if you agree to correct background checks.

The AA fears that the soaring cost of car insurance may lead to many drivers unable to afford cover, leading to more uninsured drivers than ever.

A report last week from the Association of British Insurers reveals that the industry detected 33,000 fraudulent motor insurance claims last year, compared with 28,000 in the previous year. With bogus claims leading to car insurance premiums soaring at a record rate, insurance expert John Hooper gives the low down on how good drivers can secure vastly lower premiums by agreeing to credit check scoring.

Fraudsters out on the road prey on good drivers who are insured. Scams such as slamming on the brakes suddenly at roundabouts or traffic lights lead to an insurance claim from the innocent driver behind who pays the fraudster for exaggerated whiplash injuries and repairs. This, along with other drivers’ inflated claims after genuine accidents, is forcing insurance companies to increase their premiums to cover costs.

A report from the AA earlier this week showed that the average comprehensive policy now costs 30% more than last year. There was a rise from £538 to £704 and it is believed that this will continue to increase! On Friday, Nick Starling, the ABI’s Director of General Insurance and Health, said: “Our honest customers rightly object to having to pay higher premiums to subsidise the fraudulent minority, which is why insurers continue to up their game in the war on the cheats.”

The AA fears that the soaring cost of car insurance may lead to many drivers unable to afford cover, leading to more uninsured drivers than ever. Uninsured drivers cost insurance companies millions of pounds every year and an increase in numbers could lead to insurance premiums spiralling out of control. Already around one million motorists do not have insurance, which is thought to cost insurers around £500million a year.

“I believe that insurance companies have an obligation to drivers to stop this car insurance crisis.” says Hooper, “With permission, some brokers are starting to check databases such as The Vehicle Licensing Agency (DVLA), The Motor Insurance Database (MID) and credit agencies such as Experian so that they can secure good drivers much lower premiums.” Using this sophisticated rating system which uses credit scoring information from third party companies such as the DVLA & Experian, some clients have found that they are eligible to pay 35% less on their premium.

It is understandable that good drivers don’t want to pick up the bill for these fraudsters, but it is very important to make sure you have the right cover when out on the road. Hooper said, “Any respectable broker will want to reward good drivers and want to insure them. These credit dependent policies are new and still exclusive, but if you find a good broker then they will be able to provide the scheme.”

Thomas Birch
Head office
Coversure House
Vantage Park
Washingley Road
PE29 6SR
0800 3081 213

Note to editors:

Coversure Insurance Services is the largest and longest running general insurance franchise operation in the UK intermediary market. Established by local insurance expert Mark Coverdale in Huntingdon in 1986 the group now controls premiums over £60m with branch offices at 90 locations throughout the UK.

Coversure offer all general insurances including Motor, Property and Travel cover. They also have a number of specialist schemes for Public & Employers Liability, Taxi Insurance, Property Owners and Professional Indemnity.

Head Office: Coversure Insurance Services, Coversure House, Vantage Park, Washingley Road, Huntingdon, PE29 6SR


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Susan Taylor
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