ABI seeks coordinated claims fraud strategy

The ABI will meet the Insurance Fraud Bureau (IFB) and other interested parties to discuss the increasing problem of staged motor accidents.

The association, together with the IFB, the Serious Organised Crime Agency, City of London Police and the claims management company regulator, will meet shortly to discuss developing co-ordinated action.

Chris Hannant, head of financial crime prevention and market regulation at the ABI, told Insurance Times: “We need to make sure that we are joining up and liaising with others who can bring something significant to the party.

“Organised motor accidents may not necessarily require a national strategy, but it does need co-ordinated action.”

Hannant’s comments came as three MPs have called on the government to work with the police, the insurance industry and other authorities to draw up a UK-wide action plan to tackle staged acccidents.

Nigel Evans, Andrew George and Andrew Dismore have all signed an early day motion, warning that the lack of a national strategy, backed by targeted resources, is hindering adequate detection.

Hannant said: “Ultimately [organised motor accidents] is only one facet of insurance fraud, and insurance fraud is only one facet of the wider challenge of fraud.

“The implementation of the government’s fraud review is therefore absolutely key and we want to see the right building blocks put in place at a national strategic level.”

The government’s review has recommended a number of measures to combat fraud, including a national fraud reporting centre, a national fraud intelligence database and making City of London Police a centre of excellence.

John Beadle, chairman of the IFB, which operates a fraud cheatline, said: “We have an immediate problem. We are dealing with it as an industry, which is why we formed the IFB. We are doing everything we can in tackling [staged motor accidents] with increased co-operation from the police”

• IFB cheatline: 0800 328 2550