Drivers in East Lancs urged to watch out for 'crash for cash' scammers

Parts of East Lancashire are among the top "crash for cash'' hotspots in the UK, analysis of the scams has found.

According to the IFB, the BB9 postcode covering Nelson, Brierfield and Barrowford, is the 7th worst place in the country for it.

Postcodes in Birmingham, Bradford, Romford, Wakefield, Leeds, Manchester, High Wycombe, London and Luton are also among the worst areas affected, the Insurance Fraud Bureau (IFB) said.

Crash for cash is a common insurance scam which involves fraudsters inventing or deliberately causing dangerous road traffic collisions, often involving innocent people, in a bid to claim compensation.

The IFB helps insurers and the police to fight fraud. It acts as a central hub for sharing insurance fraud data and intelligence, helping to detect and disrupt organised fraud networks.

The IFB said it hoped that by pinpointing crash for cash hotspots, people would be encouraged to be vigilant as more drivers start to take to the roads.

IFB analysis of 2.7 million motor insurance claims made across the UK in between the start of October 2019 and the end of 2020 identified more than 170,000 claims which could be linked to suspected crash for cash networks.

IFB investigations have found single gangs can be behind thousands of orchestrated collisions in some areas, with the combined value of their fraudulent claims running into the millions.

Here are the top crash for cash postcodes in the UK and the city or town they are in, according to the IFB:

1. B25 Birmingham

2. B34 Birmingham

3. B8 Birmingham

4. BD7 Bradford

5. BD3 Bradford

6. WS1 Walsall

7. BB9 Blackburn

8. BD8 Bradford

9. B27 Birmingham

10. RM18 Romford

11. B33 Birmingham

12. WF13 Wakefield

13. BD15 Bradford

14. OL8 Oldham

15. HX1 Halifax

16. M8 Manchester

17. LS8 Leeds

18. N9 North London

19. WF16 Wakefield

20. LU3 Luton

Ben Fletcher, director at the IFB, said: "Crash for cash fraudsters bring devastation to countless victims and increase motor insurance costs for us all.

"The IFB's hotspots analysis is a stark reminder that although great strides have been taken in tackling the problem, these car crash scams are all too common.

"As traffic levels return to normal following the national lockdown, crash for cash fraudsters may look to make up for lost time. It is hoped that by shining a spotlight on the issue we will encourage road users to be alert and report any suspicious activity to the IFB's Cheatline on 0800 422 0421.''

The IFB highlighted the case of one crash for cash victim, who was an LV= General Insurance customer. A court case was successfully fought after an attempt to claim for compensation.

He said: "At the time I was using a dashcam which provided crucial evidence for the case, so that would be my top tip to anyone. I was lucky to get support and justice, but others might not be so fortunate, so creating more awareness for the public is important.''

James Dalton, director of general insurance policy at the Association of British Insurers (ABI) said: "These criminal gangs are often highly organised and put lives at risk. The amounts that they fraudulently claim can be huge, and can impact on the motor premiums paid by honest motorists.

"With more vehicles on the roads as we emerge from the pandemic restrictions, so the potential targets for these criminals increases. This is why it is so important for all motorists to be on their guard - if you suspect an incident is suspicious do not put yourself at risk, but report your suspicions to the IFB's confidential Cheatline.''

Detective Chief Inspector Edelle Michaels, Head of the City of London Police's Insurance Fraud Enforcement Department (IFED), said: We have seen time and time again that crash for cash fraudsters do not care about the safety of their victims, with a trio even targeting a pregnant woman in 2019.''