Public warned over insurance scam

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Motorists taking part in "cash for crash" insurance scams have been warned they face prosecution and possible jail time if the fraud is uncovered.

The warning by the Metropolitan Police and the Insurance Fraud Bureau (IFB) comes after 18 people allegedly involved in fraudulent car insurance scams were arrested across London as part of Operation Saisir.

Officers believe people are being tempted to participate in insurance fraud by a wider criminal network. These people are promised money in return and told there is little or no risk of police action.

The network organisers are known to recruit people who will help them stage motor accidents and profit from the subsequent false car insurance claims.

Police said the majority of people arrested are not organisers of the scams but place themselves at risk of injury and prosecution in return a small proportion of the claims.

The IFB said insurance fraud costs the public over £1.6bn per annum and adds on average 5% to policy premiums.

Supt Glyn Jones said: "Some people may see this as a victimless crime but it certainly isn't. Most law-abiding citizens pay some form of insurance and criminal activity such as this pushes up everyone's premiums. People who get involved in scams like this will be prosecuted."

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