New Drivers Alerted To Bogus Car Insurance Deals On Social Media

Last Updated: 12/08/2021

Bogus car insurance deals are doing the rounds on social media.

Thousands of learners and new drivers with their eye on a successful test pass after the disruption caused by the pandemic have been targeted.

The scams are known as ‘ghost broking’ whereby fake car insurance brokers sell fake policies for ridiculously cheap premiums to unsuspecting learners.

It is usually young drivers who are targeted via Facebook and Instagram as they face quotes of thousands of pounds for car insurance.

A reported backlog of some 400,000 applications for theory and practical tests is making the fraud activities more persistent.

The pandemic has caused havoc for young learner drivers who have had their test delayed by almost a year.

The International Fraud Bureau stresses the importance of buying through an insurance broker who is a member of the British Insurance Brokers Association.

Checks can also be made to see if Insurance Advisors are registered with the Financial Conduct Authority.

The IFB works with the police to close these organised insurance scams down as they have doubled since 2016.

They have warned that “Driving without valid insurance’ is easily detected by police. Uninsured drivers can have their vehicle instantly seized and are likely to receive six points on their licence”.

They can also end up in court where a driving ban could be the penalty.

In addition, in terms of long term consequences, a conviction for driving without insurance can affect future career plans as it will show on records.

Anyone with evidence of an insurance scam can contact the IFB’s Cheatline.

The Cheatline can be contacted online or via a phoneline (powered by Crimestoppers) on 0800 422 0421.

Scam car insurers want learners to book their test as quickly as possible to start focusing on car insurance, however, their urging them to book a test with promises of insurance quotes of a few hundred pounds when they are not ready, just creates further problems.

Robert Cowell, AA Driving School interim managing director, said: “Driving test slots are like gold dust right now due to an ever-growing backlog. As a result, learners may risk attempting a practical test before they’re ready rather than face an extended wait and fail on these common test faults. Learning to drive is a vital life skill and it’s important learners take the time to develop their experience at the right pace so they become safe, confident drivers. The last 18 months have created more pressures in all aspects of young people’s lives and restrictions on learning to drive have added to this. The DVSA are releasing more test slots each month and we hope this will help the situation”.

New drivers are urged to avoid deals on social media or messaging apps and to only purchase car insurance through sellers that they have rigorously checked out.

Anyone with evidence of an insurance scam can contact the IFB’s Cheatline.

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