Increasing Insurance Costs Due To Frauds

The increasing number of fraudulent claims for car insurance policies is giving a booster to the costs of these policies. A representative of a leading car insurance comparison website UK described this concern.

The head of motor insurance at Confused.com said that it is quite alluring for the people to make false claims and avail some easy cash for it. In the end, such actions make the situation worse and the cost of insurance soaring high for the entire car insurance customers’ community.

With the growing competition in the car insurance industry, more and more companies are offering different policies to the motorists in the UK. Numerous car insurance comparison sites offer a platform for these companies to find their customers through offering the lowest quotes among the rivals. It is easy for customers to fill in wrong details about their vehicles and avail lower premiums.

This is a new type of fraud observed in the country these days. As more and more people are finding it hard to balance their household budgets, they are keen to save money on car insurance premiums through such measures. In addition, various planned crashes for claiming car insurance money is also on the rise.

The comments of Will Thomas were received when the Bureau for frauds revealed that the incidents of false claims and crashes for cash have made records. He has declared few areas such as Liverpool, Manchester, Leeds and Blackburn as some of the very popular hotspots among people for making such false claims.

He also added that the honest motorist has to pay for all such fraudulent practices. Even if the fraud is a small scale one (including bodily injury or does not involve any victim at all), the honest drivers by way of increased costs of insurance will face its brunt.

Get low cost insurance when you use car insurance comparison sites online to compare insurance quotes.