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.
Do you keep your PIN number hidden?
A report by Which? magazine has highlighted the risks which many UK credit card and debit cardholders are taking with the revelation that many actually write down their pin numbers. A large number of people in the UK tend to keep their pin numbers in wallets, handbags or even type them into their mobile phones leaving themselves at significant risk of fraud and theft. It is believed that around...Read More
Spanish giant Santander looks to UK for growth
Spanish financial giant Santander is rumoured to be looking towards the UK for further expansion with the company set to finalise a deal to acquire 318 Royal Bank of Scotland branches early next week. While the fee for the branches has yet to be confirmed it will be substantial although it will also give Santander more exposure to the UK high street and more influence over the UK marketplace. T...Read More
Government advisers suggest reduction in immigration employment
In a move which many will claim has come too late to help the UK economy, official government advisers yesterday recommended that 270,000 employment positions should be taken off the official list which details skills shortages in the UK. The posts of quantity surveyor and construction manager should soon be withdrawn from the list which would reduce the number of jobs covered from 800,000 to 530,...Read More
CML: Gross mortgage lending down in February
Gross mortgage lending declined during February, a report from the Council of Mortgage Lenders (CML) shows. CML research shows that over the course of the month, lending fell from January's total of £25.9 billion to £24 billion. This represents a decline of around seven per cent and, according to director general of the CML Michael Coogan, and provides further evidence of worsening conditions fo...Read More
Fivefold increase in property millionaires over last decade
Santander, the owner of Abbey and other UK banking brand names, has today issued a report suggesting there has been a fivefold increase in the number of property millionaires in the UK since 2000. Despite the fact that the credit crunch has impacted heavily towards the top end of the market, the bank estimates that there are around 132,000 "million pound" properties in the UK at this point in time...Read More