MPs Recommend Dedicated Police Force to Beat Insurance Fraud

At long last motorhome owners, in company with the rest of the motoring population, may see action taken by the Government to bring down the cost of insurance.

The MPs that make up the Transport Select Committee (TSC) in the House of Commons has published a report which advocates ways to bring down the cost of insurance. The move will be welcomed as much by motorhome insurance providers as it will owners as the committee recognise fraudulent claims and uninsured drivers are the two main factors driving the cost of premiums up.

According to Government figures accidents involving uninsured drivers cost the law abiding motorists of the UK £380 million each year, costs that go a long way to explaining why vehicle insurance has become more expensive. The TSC would like to see a dedicated police team set up and paid for by insurance providers that would tackle the growing problem of uninsured drivers and the growing cost of fraudulent claims. The mushrooming legal business surrounding insurance claims for “whiplash” injuries and vehicle repairs is also proving difficult to tackle.

Louise Ellman, MP for Liverpool Riverside and chair of the TSC, said “Wider access to justice is to be welcomed, but it has come at a significant cost, with far more personal injury claims being made than in the past. The police made plain to the committee that ‘staged accidents’ are on the increase and that, so far, we have been lucky there have been no fatalities resulting from such incidents. That luck may run out unless the insurance industry acts rapidly to help the police target this kind of insurance fraud.”

The MPs noted the chicken and egg situation surrounding the high cost of motor insurance and the growing number of uninsured drivers and believes targeting younger drivers is the way forward. Insurance providers and many police authorities think the new on board smart boxes which record how a driver manipulates his vehicle will reduce the number of road traffic accidents and at the same time bring down the cost of insurance; the boxes may now become a standard feature of modern day cars.