Insurance companies are being hit by up to £4m per day as a result of fraudulent claims, according to the latest research conducted by the Association of British Insurers.
The ABI study reveals that fraud is costing the insurance industry a massive £1.6bn per year, resulting in an increase of approximately £40 to the average annual premium.
Nick Starling, director of general insurance and health at the ABI: "These figures highlight that greater deterrents, such as criminal prosecutions, are needed to discourage fraud. We are calling for police forces to be given more resources so fraud can be treated with the seriousness it deserves."
