National Car Rental highlights the growing issue of fraudulent insurance claims

National Car Rental (National) has warned fleet managers about fraudsters who use rental vehicles to set up bogus accidents.

Staged accidents are costing the insurance industry millions each year as fraudsters deliberately cause accidents in order to make an inflated or false insurance claim, said National.

National said it is currently defending a number of cases worth over £1.5m.

“Staged accidents are costing the insurance industry millions each year

National Car Rental

Dean Mugglestone, insurance and risk manager at National, commented: “Suspected staged insurance claims have become a serious issue for the rental industry, however we are starting to fight back against these fraudsters. We want to get the message out that the rental industry is not a soft target.”

Mugglestone added: “A staged accident can involve anyone and drivers need to be aware of tell-tale signs, such as the motorist in front breaking suddenly or driving erratically for no apparent reason. Of course, most accidents are genuine, but it is vital that the rental industry as a whole is aware of the indicators to help identify potential fraudulent claims and ensure these are defended robustly. National’s success in defending against these fraudulent claims proves the industry doesn’t have to put up and pay out.”