Fraud costs insurers '£4m a day'
Insurance fraud costs UK insurers some £4 million a day, new research has indicated.A survey by the Association of British Insurers (ABI) found that one in ten adults had admitted to filing a fraudulent insurance claim.The trade body said that their dishonesty was adding an average of almost £40 to the annual premiums of other policyholders and costing the industry £1.6 billion a year.Policyholders were most likely to lie about insurance claims related to their properties, the ABI survey of almost 7,000 people found.About half the total cost of dishonest claims each year relate to home contents and building insurance, the association confirmed.Meanwhile opportunistic fraud, where a claimant increases the true price of an item that has been damaged, is estimated to cost insurers more than £800 million annually.Commenting on the research, ABI's director of general insurance and health, Nick Starling, said: "Honest customers should not have to pay for the cheats."These figures highlight that greater deterrents, such as criminal prosecutions, are needed to discourage fraud. This is why we are calling for police forces to be given more resources so that fraud can be treated with the seriousness it deserves," he added, stressing that the recently established Insurance Fraud Bureau (IFB) was already having a "significant impact" on tackling organised insurance fraud.The IFB, launched by the insurance industry in July 2006, welcomed the government's response to the Fraud Review in March, but warned that greater police resources were needed on a national scale to maximise its own impact through a collaboration with law enforcement authorities.
UK currency under severe pressure as debts begin to mount
After a very brief recovery on the currency exchange over the last few days the pound has encountered some serious selling pressure today falling to a seven-year low against the dollar. There is concern amongst traders and investors that the constant drip feed of taxpayer's money into various rescue packages is severely weakening the power of the UK and investment prospects.
Insider trading crackdown receives backing
The Financial Services Authority's (FSA) crackdown on insider trading in the UK has been welcomed by a former head of enforcement at the watchdog.Yesterday the FSA warned insiders who leak information before big takeover deals that it was looking to take tougher action against them.It has also called on the government to allow it to offer immunity to those who provide hard evidence of market abuse...Read More
Is wedding day insurance worth considering for your big day?
When you consider that the average wedding now costs in excess of £18,000 it will come as no surprise to learn that wedding insurance has literally taken on a life of its own. You can now insure against every possible eventuality on your wedding day and at least cover yourself if something was to go wrong, There is no worse feeling on your big day than worrying about what could go wrong.
Can We Trust MPs To Look After Our Finances?
Over the last few months there has been a ground swell of support amongst MPs to increase their salaries to take into account a whole host of expenses which they look set to lose in the short term. There has even been talk of MPs being paid a bonus for attending the House of Commons, something which is totally unheard of in the private sector. So can we trust MPs to look after the public purse w...Read More
Post-Christmas debt blog
08/01/2014 The average family is going to take on debts this Christmas that will take until June to pay off and the Trades Union Congress has carried out research that shows that the typical UK family will have added £685 to its borrowing this festive season, in comparison with the Christmas before where one in six families borrowed money to pay for food, drinks and presents, with households b...Read More