Motor Fleets: Be Aware of Insurance Fraud

 

 

What Should Drivers Do Following an Incident?

Ensure your motor fleet drivers know what to do in the event of an accident and how to be vigilant of insurance fraud

2 most important things you can do in the event of a claim:

  1. Gather as much information as possible at the scene
  2. Notify your insurer or insurance broker as soon as you can

Why report an accident as quickly as possible?

  1. The earlier your insurer is notified, the sooner your vehicle can get back on the road or replace
  2. You could receive a courtesy vehicle and repair services from your insurer’s approved repairer network
  3. Your insurer can work quickly on your behalf if liability is contested
  4. Your insurer can ensure claim costs and the experience against your policy record are contained*
  5. Your insurer can look after the third party and minimise the inconvenience, so this reflects well on your business

(*The total cost of claims notified on day 30 can be on average 4 times higher than claims notified on day 1!)

What should drivers do at the roadside?*

  • Stop at the scene
  • Remain calm
  • Call the police
  • Take the details of the other people involved – incl a description of the driver and vehicle
  • Look for any witnesses – independent witness evidence is very valuable
  • Take note of the number of passengers in the other vehicle including their approx age and gender
  • Take detailed notes and photographs of the scene, vehicle damage, and people involved
  • If you suspect fraud, highlight your concerns to your insurer

*If safe to do so!

Be vigilant of insurance fraud

When on the road, fleet drivers may see or experience the following:

Staged Accidents

Two or more individuals will deliberately crash their vehicles into each other, potentially resulting in claims for: damage caused, injuries sustained, car hire costs, vehicle recovery, and storage.

Flashing lights

A third-party vehicle flashes its lights to either encourage you to come out from a junction in front of them or cross over their lane to enter a junction. Once you start your manoeuvre the third party simply crashes their vehicle into yours.

Contrived accidents

This can include submitting a claim for damage sustained in a collision that did not occur as the result of an accident. For example, transporting pre-damaged vehicles to a recovery yard to create the impression an accident has occurred.

Phantom passenger claims

Where claims are submitted to an insurer for personal injury sustained in an accident when the party submitting the claims was never in the vehicle at the time of the alleged accident. These types of claims go hand in hand with all crash-for-cash scenarios.

Induced accidents

Where a third-party vehicle will stop without warning or slam on the breaks to make the target vehicle behind collide with the rear of their vehicle. Often take place at roundabouts, traffic lights, or road junctions.

Induced accidents with a decoy vehicle

Becoming more common as fraudsters try and get around dash cams. Almost always take place at junctions, roundabouts, and motorway slip roads, either immediately before coming off or after entering the carriageway. The first dummy vehicle breaks heavily or changes direction without warning making the second dummy in front of our vehicle slam its brakes on and induce the collision. The first vehicle immediately keeps on driving and leaves the scene.

What can you do to prevent fraudulent claims?

  • Be Alert!
  • Beware of tailgaters
  • Keep your distance from vehicles in front
  • Always look for brake lights on vehicles in front of you
  • Take extra care at roundabouts, slip roads, or areas where there is stop-start congestion
  • Be aware of vehicles rapidly pulling out of junctions and then braking in front of you

Consider investing in dashcams

  • Dashcam videos can be timestamped
  • Great source of evidence in a road accident
  • Useful for finding out who is at fault
  • Can act as a GPS tracker to help emergency services find you
  • If you suspect you have been a victim of fraud, the footage can help you be properly compensated
  • Dashcams are legal in the UK and require no special licenses

How can CCRS Brokers Help?

Our dedicated claims team has a wealth of motor claims experience. We can:

Provide you with bespoke advice and support

Help you prepare pre-investigation evidence such as driver statements, locus reports, or witness statements

Best support insurers and ensure that they are also taking the correct, zero-tolerance stance when it comes to fraudulent claims

If a fraudulent claim should come in, we can robustly defend against it and prevent any payments from being made

 

Contact Form