Whiplash news
27/05/2009
"Cash for crash" activity down 11%

Figures released by the Insurance Fraud Bureau (IFB) indicate that there has been an 11% drop in the number of "cash for crash" car accident claims. However, the same organisation also indicated that the problem is on the rise in certain areas of the country, with the majority of such claims for being for whiplash style injuries.

Those areas where fraudulent whiplash cases are on the rise include, East London, Halifax, Liverpool and Ilford, with the IFB blaming this on failures in liaison between police and insurers.

Conversely, Luton, Northwest London, Harrow and Walsall have been held up as examples of how the impact of car accident insurance scams can be minimised by positive police involvement.

IFB's deputy chairman commented on the ongoing problems facing the bureau. "We targeted some of the biggest gangs first, but new ones are emerging all the time and we can only combat them with the help of police," he said.

While a spokesperson with Zurich Insurance explained how the cost of even seemingly minor incidents can spiral out of control, saying, "As well as multiple passengers, all of whom claim injuries such as whiplash, claims can be inflated by high bills for courtesy cars and repairs. A seemingly minor bump can inflate into a £50,000 bill."