Crash For Cash Scams On The Rise

Thousands of unsuspecting motorists in the UK are being caught up in collisions with drivers who deliberately crash into them for cash rewards, that's according to car insurer LV=.

Over 300,000 car accidents have been deliberately staged since 2009 and the number of people falling victim to the “crash for cash” scam has reportedly reached 30,000 in the last year.

An investigation carried out by the car insurance firm found that one in thirty drivers believe they were involved in a “crash for cash” scam in 2013 as fraudsters target females and the under 35s whom they believe they are less likely to challenge the insurance claim.

John O’Roarke, Managing Director of LV= car insurance, said: “Every year there are tens of thousands of staged accidents, which are putting the safety of innocent motorists at risk.

“Fraud is not a victimless crime and the cost of paying fraudulent claims drives up the cost of car insurance for all.”

“Crash for cash” fraud takes place when one or more parties involve themselves deliberately in a road traffic accident in an attempt to financially gain, often claiming for injuries such as whiplash, with additional pay-outs to compensate for loss of car or lost earnings.

Different and sometimes imaginative methods are used to create an incident which results in the victim believing they were at fault and admitting responsibility.

The “slam-on”, for example, takes place when a fraudster brakes sharply for no apparent reason, causing the motorist behind to drive into the back of them.

In these cases, the fraudsters will often disconnect their brake lights so the motorist behind does not know that they are slowing down.
Another form of staged accident is known as “flash for cash”, where a driver will flash their lights to let another car into the traffic but then deliberately crash into the back of them.

In addition to being an illegal and highly unethical practice, incidents of crash for cash are only heaping more pressure onto the claims industry, where many innocent accident victims with genuine claims are being tarred with the “compensation culture” brush.

Within the accident management industry there are now concerns that victims of road traffic accidents are being discouraged from making legitimate claims as a result of this stigma.

Have you been involved in an accident on the road that wasn’t your fault in the last three years? Why not get in touch with Winns today on 0800 988 6288 and access our no obligation advice.

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