Crash for cash scams are really serious crimes and in some in can earn individuals large sums of money. Individuals, are putting themselves on the line as well as risking the lives of others.
This is how it works, fraudsters force other innocent drivers to crash into them, in most cases the rear of their cars. Sometimes, they may swerve randomly, brake suddenly and in some really dangerous cases, remove brake lights so following cars will not know. The scam works on the basis that insurance companies always pay out because they have been hit from the rear of the car.
Around 22,000 are staged each year costing insurance companies £200m worth of payouts. Fraudsters maximise the payouts by exaggerating damage to cars,inventing injuries, passengers or even the entire accident. Unfortunately, drivers who are being scammed see an increase in insurance premium.
The fraudulent activities have typically been happening in the north west of England, but areas of London have entered the top 10 scam spots for the first time. Findings show that the sixth position was claimed by east London and the ninth by north London. The Insurance Fraud Bureau (IFB) estimates around 30,000 accidents are staged each year, with each claim reaching around £17,000 each. It costs insurers about £350 million, adding £44 to the premium of every driver in the country. Birmingham is the UK's top fraud hot spot, the IFB said, with the other top places taken by Liverpool, Blackburn, Manchester and Leeds.
Crash for cash scams are dangerous and put many lives at risk, don't bother! Insurance companies are very muh onto possible scams and each rpad traffic collision is being investigated in it's own way. Stay safe!
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