Operation Shunt - Local Fraud Ring smashed by Police
On 2nd April 2014, Thames Valley Police made four arrests of men aged between 27 and 39 across Reading, as part of an investigation into "crash for cash" insurance scams. 3 of the men have been arrested on suspicion of fraud under Section 8 of the Police and Criminal Evidence Act and the 4th man has been detained by immigration officers.
"Crash for cash" scams involve people deliberately staging collisions in order to make claims for the pre-accident values of vehicles, personal injuries (often for people who were never involved in the staged accident in any event) and other fictitious losses. These claims often run into the tens of thousands of pounds, and undetected general insurance claims fraud totals £2.1billion a year, adding on average £50 a year to the annual costs of insurance premiums individual policyholders face each year.
The operation, named ''Operation Shunt'', was a joint operation with Immigration Enforcement and the Insurance Fraud Bureau, and investigated alleged accidents between March and September 2013 in the South and Vale, Abingdon, and Oxford areas. During the arrests, a sizeable amount of cash was recovered. Such scams often finance other criminal activities including drug trafficking and terrorism.
Undetected general insurance claims fraud total £2.1billion a year and add £50 to the annual costs individual policyholders face, on average, each year. The IFB received 6060 reports of potential fraudulent claims at a rate of 1 every 90 minutes in 2013, an increase of 32% over 2012 and demonstrates that continual vigilance is required when dealing with claims.
Blake Morgan's fraud team are regularly instructed by our insurer clients to use their specialist knowledge and investigative skills to combat all types of motor fraud claims and achieve major savings for our clients.