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Industry-funded insurance fraud squad launched
A new specialist police unit under the auspices of City of London has been launched to battle estimated £3bn cost of insurance fraud.
A number of cases following referrals from the insurance industry at the end of 2011 are currently being reviewed by police detectives and financial investigators, City Police said in a statement.
It added that criminal networks increasingly use professional enablers, including doctors, solicitors and vets, to expand their operations and increase the threat against the insurance industry. It said that IFED aims to change the public perception of fraud and the belief that small-time ‘opportunistic fraud’ is somehow acceptable.
Ian Dyson, a London police commander, said: “This is an important day for both the City of London Police and the ABI.
“IFED is here to turn the tide against all those who break the law, dismantling far-reaching criminal networks and changing a culture that says it is ok to submit bogus insurance claims. There is much to be done and there is not a moment to lose.”
Nick Starling, insurance director at ABI, said the police unit is “an important initiative as insurers intensify their crackdown on insurance fraudsters”.
