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Car Insurance personal injury fraud increases

Published: 08/08/2009 by Comments


Whiplash is the most common ‘faked injury’ when it comes to fraudulent personal injury car insurance claims, new research has shown. The recent investigation surveyed GPs across the country, with 24% stating that there has been an increase in people fraudulently claiming they had been injured in a car accident since the credit crunch first began to bite.

The recession is being blamed for the spike in fake claims, as people look to make extra cash in any way they can. A huge 98% of all the GPs surveyed said they had seen a patient whom they believed was exaggerating an injury caused by a car accident so they would be compensated for it. However, despite the sudden increase, it has been a slow-burning problem for nearly a decade, according to 65% of the survey participants.

Out of all the ‘fake’ claims logged, whiplash was highlighted as a favourite for fraudsters, perhaps because it is easiest to exaggerate, with the UK reporting more injuries of this kind than other European countries. It might seem relatively harmless to some, but Martin Milliner, head of claims at LV= Car Insurers who collated the latest statistics, reminded fakers that it is still against the law.

Added to that, the sheer number of claims for whiplash is having a real effect on the insurance industry - making up an estimated 20% of UK driver’s car insurance premiums. Another problem is the time and resources wasted by the NHS in tending to these fake injuries, Mr Milliner explained.

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