Drivers aged 17-24 are most likely to be caught out by ghost brokers, according to a new report by City of London Police.
Fears thousands of motorists are unwittingly driving around uninsured have been raised by the police force who've launched the second phase of their #SteerClearOfFraud campaign to help educate drivers on ghost broking scams.
From November 2014-July 2018, most of the reports came from victims aged 17-24. Victims lost a total of £164,993, or an average of £912 each.
Criminals who sell fake car insurance policies to unsuspecting drivers are known as ghost brokers; they carry out the fraudulent act in one of three ways:
The UK’s Insurance Fraud Bureau (IFB) warns the policies aren’t worth the paper they’re written on if a driver ever needs to make a claim.
The City of London Police’s latest report shows drivers aged 17-24 are most likely to be targeted in these scams with many of the ghost brokers reaching out through social media channels such as Facebook and Instagram.
The conmen also run newspaper and magazine adverts, cold call customers and will get friends, family members or work colleagues to introduce them to people.
The #SteerClearOfFraud campaign aims to teach drivers to be wary of heavily discounted prices on the internet or cheap prices they’re offered directly for car insurance.
There are a few things you can do to avoid falling foul of a ghost broker.