Motor Vehicle Fraud

Motor vehicle insurance fraud is common in Australia and takes many forms.  
 
It can  include:

    • Claims of theft to get money for an unsaleable vehicle or to benefit from over-insurance. Claims of theft can also be used to conceal accidents that have occurred while drink-driving
    • Claims of theft that might be legitimate in themselves, but which benefit the thieves who on-sell the cars and motor vehicles to unsuspecting buyers, or 'rebirth' them (swapping vehicle identification numbers for those of legitimate ones) or strip them for blackmarket parts
    • Claiming for the loss of a non-existent vehicle which has been falsely insured
    • Staging accidents that enable exaggerated damage claims, made possible with hard-to-verify injury claims covered under Compulsory Third Party insurance
    • Arson committed on a Motor vehicle


A great many fraudulent motor vehicle insurance claims are carried out in combination with other types of insurance fraud, making detection difficult and helping to push up already high premiums. 

As with all insurance fraud, the pocket it ultimately hits is yours.

If you have information that you believe in good faith is insurance fraud,  report it NOW! 

 

Types of Fraud

Workers Comp

This can include employees falsely receiving benefits such as time off work, by faking injuries, exaggerating legitimate ones, claiming for pre-existing injuries or those sustained that have no relation to the workplace.

Motor Vehicle

This type of fraud takes many forms, including claiming theft in order to obtain money for an unsaleable car, or to cover up 'drink driving' accidents; staging car accidents; or vehicle arson.

Property

Goods that are unsaleable due to their poor condition, quality or lack of market demand, may also be fraudulently 'lost' or 'destroyed'. In the case of buildings and plant equipment, arson is often involved.

Arson

Insurance arson typically involves the intentional burning of insured property in order to destroy it and claim its insured value, especially when this is greater than the item's saleable value.

Life

A typical example of life insurance fraud might be a person claiming a monthly benefit - while working another job on the quiet. More extreme examples include elaborately faking deaths and disappearances for the fraudster and any accomplices to secure the payout.

Health

Fraudulent acts include healthcare or medical professionals billing for services not performed, claiming higher than actual costs, participating in the treatment of 'patients' brought in as a result of staged accidents, or carrying out unnecessary procedures.

Other

People might claim falsely for injuries relating to falls (called 'slip and fall' accidents) or other incidents where the consequences can be exaggerated.