Motorists have been urged to take extra caution when searching for their insurer online as there is a new breed of ‘claims hijackers’ on the loose who will try to rob them of thousands of pounds after having been involved in an accident.
The Insurance Fraud Bureau say there has already been countless cases of vulnerable people every day targeted by scammers who use paid advert spoof websites to appear at the top of Google and other search engines to dupe unwitting drivers into thinking they will be redirected to the site of the genuine insurer.
People looking to make a claim can inadvertently contact one of these third-party sites via an ad and think they’re dealing with their provider, only to be trapped in legal agreements with unknown firms and facing costs of up to £50,000.
Drivers warned not to fall victim to online claims hijackers looking to rob them of thousands in the latest wave of motor-related fraud
How claims hijackers use paid-ads to scam drivers
When someone uses a search engine like Google to contact their insurer and make a claim following a collision or damage to their vehicle, misleading ads paid for by unscrupulous firms can trick victims into contacting them instead.
These often appear high in the search, which would suggest to people that it is a genuine website.
When a victim click on the link, they are taken to a scam site and asked for their personal details to receive ‘support services’ and potentially make a claim, which results in a network of unsolicited agreements with third parties.
While any type of insurance customer can be a victim of a paid-ad spoofing scam, those who have been involved in a road collision are considered most at risk as they may be shaken after an accident and not be thinking clearly when looking to make a claim.
These victims may also believe their fully-comprehensive car insurance covers everything, but as they don’t realise they’re not dealing with their insurer, thousands in fees are being racked up.
Who pays these fees varies.
If the other driver is at fault, the firm will claim against their insurer to cover the costs of its unsolicited services. In these cases, the affected individual may not realise they have been linked to a scam.
However, if the other driver is not at fault of the collision, the onus is placed on the person who was misdirected into contacting the claims firm for support, to cover all costs that otherwise could have been included through their insurer.
These fees can run into tens of thousands of pounds and can result in non-stop threatening calls to the victim from third-party firms.
The IFB is currently investigating several firms suspected of being linked to the activity.
How to avoid falling victim to a claims hijackers
The IFB says consumers must be vigilant when searching for their insurer online.
They should check the phone number and website URL on any ads to help ensure it’s legitimate, before sharing personal information and agreeing to claims services.
Ideally, customers should keep their insurer’s contact details on their phone or written down somewhere secure (these contact details are on a policy document).
To stop the issue growing, IFB has teamed up with insurer Aviva, which is one of the company’s commonly being misrepresented, to launch a joint campaign to help motorists – especially elderly drivers who are not as tech savvy – understand how paid-ad spoofing scams work and avoid being caught out.
Ursula Jallow, Director at IFB, said: ‘The scale and complexity of paid-ad spoofing scams is significant.
‘Millions use and search for insurance services each day, and it only takes a small number of people to fall for paid-ad scams for a string of dodgy firms to greatly profit from their misfortune.’
She warns that there is a ‘minefield of claims hijackers’ out there and consumers must be vigilant.
‘Anyone with concerns of paid-ad spoofing claims scams must report it to our CheatLine,’ she said.
Aviva, along with other major insurers, is increasingly finding their customers have been targeted by paid-ad spoofing scams, with around a dozen unscrupulous firms now known to have misrepresented themselves as the insurer’s claims management team.
The IFB says consumers must be vigilant when searching for their insurer online. They should check the phone number and website URL on any ads to help ensure it’s legitimate, before sharing personal information and agreeing to claims services
Many of Aviva’s customers who have been deceived are more vulnerable and include those who are elderly or in distress in the immediate aftermath of an accident.
When people realise they’re not receiving services they thought were included as part of their insurance policy, they face a helpless situation of being chased by third parties to pay for unsolicited fees.
In one instance, Aviva says a claims firm pursued one victim for over £50,000 in costs.
Pete Ward, head of claims counter fraud and the insurance provider, said: ‘When a customer has a car accident, they look to their insurer to assist them in their time of need.
‘The willful misleading of consumers at their most vulnerable point – usually searching for their insurer’s claims details at the roadside after an accident –is causing anxiety and financial stress to those involved.
‘Aviva has been working with the IFB, law enforcement and the wider insurance industry, to make consumers aware of the online scammers and protect them from these unscrupulous actors. We hope this will prevent others from being targeted by paid-ad spoofing.’
Some links in this article may be affiliate links. If you click on them we may earn a small commission. That helps us fund This Is Money, and keep it free to use. We do not write articles to promote products. We do not allow any commercial relationship to affect our editorial independence.
