|Just 15% of people have heard of a ‘ghost broker’.* Do you know what one is?
Have you ever heard of a ‘ghost broker’? No, we are not talking about things that go bump in the night – this is a lot scarier. ‘Ghost brokers’ are fraudsters who sell fake or invalid car insurance policies. Victims are sold fake insurance documents for a policy that does not exist, or for a genuine policy that has been set up using false details to lower the price of the premium.
How do ‘ghost brokers’ operate?
This type of fraud is typically carried out either by forging insurance documents, falsifying your details to bring the price down, or by taking out a genuine policy for you but cancelling it soon after.
Often, the victim is not aware that they have been scammed until they are involved in an accident and try to claim on the policy.
Who do ‘ghost brokers’ target?
Last year, Action Fraud received 694 reports of ‘ghost broking’, with almost a third (29%) coming from victims aged 17-29. The reported losses for these victims alone totalled £113,500, with each individual losing an average of £559.
Figures also indicate that over half (58%) of all reports in 2020 were submitted by men.
What could happen if I drive without valid insurance?
How can I protect myself from ‘ghost brokers’?
*According to a YouGov survey commissioned by the IFB
|Message Sent By
Action Fraud (Action Fraud, Administrator, National)