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Drivers asked to check insurance after scam arrests

Date: 10/10/2013 10:22:30
Category: Insurance
Author: Laura Varley

Drivers have been advised to check their insurance policies after a fake car insurance scam was uncovered by police.

According to sky.com, 27 people have been arrested for 'ghost broking', a scam that usually uses a fake website and great insurance rates to draw unsuspecting drivers in.

Those who have gotten a very cheap deal on their car insurance may want to make sure the policy they have purchased is genuine, as many drivers often don't find out until it's too late and they've had an accident. When they try and claim on their insurance they either end up being prosecuted for driving without insurance or suffer huge bills for vehicle repairs.

Although these scams tend to target newly-qualified drivers, whose insurance prices are high, the police warn that thousands of drivers could potentially be uninsured without their knowledge, reports theguardian.com.

The City of London Police insurance fraud enforcement department (IFED) carried out the arrests and the IFED's detective chief inspector, Dave Wood, said that ghost broking is a UK-wide problem.

"The consequences for innocent motorists who fall victim to ghost brokers can be dire, so it is absolutely vital that drivers shopping for car insurance online, or through other means, question what they are being offered to ensure they get a real deal," he said.

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