Insurers warn fraudsters

In response to complaints that insurance companies have failed to pay policies when details were mistakenly not declared, the British Insurance Brokers Association (BIBA) has warned that details which are deliberately withheld will be discovered.

The Insurance Fraud Bureau (IFB) has been in existence since July 2006 and has already saved the industry £400 million by intercepting misleading claims. The motoring insurance industry has also warned that over a million people lie about their age, or their address, to endeavour to reduce their premiums.

Graeme Trudgill, technical and corporate affairs executive of BIBA, explains: "Fraudsters will put up everyone else's premiums and we would like to think that the Insurance Fraud Bureau will do everything they can to try and reduce fraud for the sake of all the good innocent customers out there.

"The insurance industry pays out over £1 billion a year in fraudulent claims and it is a big worry. I think that we are becoming more aware, more alert, and we'll be more able to respond to it and the canoeists of this world going forth."

Householders need to mention their security procedures, which may help them to get a discount on their home insurance premiums, as well as unique features to their properties, or valuable possessions, which may increase their premium costs, but will ensure that any claim proceeds smoothly.

Homeowners are also urged to photograph damage in the event of a claim, keep photographs of antique or precious items in case of theft, and to declare any other places where property is kept, such as a garage.

25/01/2008 16:11:31