’Online insurance scams are widespread and are becoming increasingly sophisticated,’ says director

Most consumers have not heard of the term ghost broking, while more than a third say they do not know what online insurance fraud is.

That was according to the ABI, which also said that roughly half of customers struggle to assess the difference between a real and fake insurance advert.

The ABI conducted the research at a time when threats from cyber criminals are increasing.

The trade body found that even among those who have heard of online insurance fraud, knowledge of specific types was very low.

According to its figures, four out of five people (81%) have never heard of ad spoofing, while 90% did not know what ghost broking was.

Ghost broking is a term used to cover a range of tactics used by scammers to sell fraudulent insurance policies.

Meanwhile, 31% of UK adults polled said they had never heard of online insurance fraud.

The ABI commissioned Opinium to carry out a poll of 2,000 UK adults for the research.

Mark Allen, the ABI’s head of fraud and financial crime, said: “At a time when household budgets are already being squeezed by the cost of living, no one wants to get caught out by the scammers.

“From deals that look too good to be true, to opportunistic claims companies praying on people when they’re at their most vulnerable, we’re calling on everyone to be alert and don’t fall foul of the fraudsters.”


To help achieve this, the ABI has launched a campaign to raise awareness of types of fraud carried out online and through social media.

By using case studies, digital adverts and partnering with influencers, it aims to help customers spot the signs of fraud and know how to avoid it.

Ursula Jallow, director at the Insurance Fraud Bureau, said: “Online insurance scams are widespread and are becoming increasingly sophisticated, so it’s really important to stay cyber savvy and know the difference between a real deal and one that shows signs of something not being quite right.

“This campaign is shining a spotlight on some of the most devastating scams out there, so we encourage everyone to follow ABI’s tips to avoid being targeted. If anyone thinks they have seen an insurance scam they can report it to our confidential CheatLine.”