Car insurance frauds advised to desist

Wed, 26 Sep 2007

Car insurance customers who partake in the practice of ‘fronting’ are committing fraud, and should desist before they are caught or they risk having an insurance claim invalidated.

‘Fronting’ is the practice where by drivers with no-claims bonus and cheaper insurance buy a premium on a vehicle, which is then mainly driven by a much more inexperienced driver or drivers. The practice is relatively common, but does amount to vehicle insurance fraud, and the MD of one price comparison service is calling for drivers to give it up.

Hayley Parsons, who is the managing director of gocompare.com, has reportedly commented that severe reprimands are awarded to those who are caught. She reportedly said: "Drivers who have had a policy cancelled will have to declare this on any future insurance applications and will find it harder to buy."
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