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Industry News from Yes Insurance

07 November 2006 'Cash for crash' fraudsters caught

A six-month long investigation finally bore fruit when a police raid of four houses resulted in ten arrests and £1 million worth of assets which had been amassed from an immense 'cash for crash' car insurance fraud scheme.

The Luton News reports that the dawn raids involved 250 officers, some armed and others unarmed, spreading as far apart as Reading and Luton. They acted after receiving an anonymous tip off.

Police believe large amounts of money have been made by the people involved in the scam, who are suspected of making fake car insurance claims after staging vehicle collisions.

The fraud scheme involves offenders causing collisions between themselves and innocent motorists who then have to claim on their insurance even though they were not at fault.

When the police arrived, vehicles, documentation, cash and other property was seized and handed over to the Insurance Fraud Bureau for further analysis.

The ten who were arrested are currently being held in police stations in Bedfordshire, but there are no indications as to how large an operation this is.

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