Birmingham has been named as the UK’s ‘crash for cash’ capital, with scammers targeting innocent motorists with staged or fake accidents.
New research by insurance giant Aviva revealed that more than 3000 crash for cash claims were received in 2015; that's one every three hours. The insurer says one in four of those incidences occurred in Birmingham.
‘Crash for cash’ is a type of insurance fraud and can take several forms. According to the AA, the most common type of scam involves a vehicle braking sharply in front of another car, giving the innocent party very little chance of avoiding a crash. The scammers will then make fraudulent insurance claims for the repair and storage of their damaged vehicle, with the costs for such services vastly exaggerated.
The UK’s Insurance Fraud Bureau (IFB) estimates that crash for cash scams cost the UK around £336 million in 2015, with one in 10 personal injury claims linked to the scam.
While Birmingham saw the most crash for cash accidents in 2015, north London and east London secure second and third places respectively. Leeds, Harrow, north-west London, Bradford, Luton, Coventry and Oldham also feature on a list of the top 10 crash for cash hotspots.