Aviva stops record levels of claims fraud as new scams identified

Aviva has revealed that it detected suspected claims fraud worth £233m in 2025, equivalent to more than £638,000 of fraud detected every day.

The insurer said the results, which include the Direct Line brands for the first time, were at a record level last year, with more than 37 years of custodial and suspended sentences secured for the most serious offences.

Motor insurance fraud continues to account for the majority of fraudulent claims Aviva detects, representing more than seven in 10 cases.

However, the nature of scams is evolving. Fraudsters are increasingly moving away from staged collisions and towards exaggerated claims for vehicle damage, repair costs, credit hire and injury, often using wider cost pressures as justification.

It meant that the value of detected motor fraud rose by 39%, as Aviva identified more high-value attempts to inflate claims.

Meanwhile, Aviva detected more than 105,000 fraudulent insurance applications in 2025, with a growing proportion of this activity linked to ghost broking, with the number of such scams identified rising by 7% year-on-year.

These scams typically target younger drivers, with fraudsters using social media and messaging platforms to sell invalid or manipulated policies that leave customers unknowingly uninsured.

AI and opportunistic fraud

Aviva also said it is seeing a growing number of claims supported by artifical intelligence (AI)‑generated images and manipulated documents, particularly in motor insurance.

Fraudsters are using these tools to fabricate accident scenes and damage imagery to support false or exaggerated claims.

In response, the insurer said it is utilising advanced analytics and AI‑enabled tools, supported by human oversight, to stop suspicious claims earlier and ensure genuine claims are paid faster.

Meanwhile, Aviva said there was more opportunistic fraud embedded within genuine claims, particularly in home and travel insurance.

Fraud in Aviva’s home insurance book rose 15% in 2025, often hidden within otherwise legitimate claims where customers exaggerate damage, repairs or contents values.

Travel insurance fraud also increased, with cases including exaggerated medical or cancellation claims, sometimes supported by documentation submitted after the event that does not withstand detailed scrutiny. 

’Working tirelessly’

Pete Ward, head of claims counter fraud at Aviva, said: “Fraud isn’t a victimless crime – it drives up the cost of insurance for everyone. We have a duty to ensure our customers don’t foot the bill for other people’s dishonesty and we work tirelessly to root out fraud and stop it wherever we find it.

“We’re seeing fraud become more sophisticated, from exaggerated claims to the use of AI‑generated documents and we’re continuing to invest in the tools and expertise needed to identify and stop it.

“By detecting and preventing these claims, we’re helping protect honest customers from the cost of fraud.”