Insurance body to run TV adverts on fraud

The Irish Insurance Federation (IIF) will run a series of television advertisements to bolster its campaign against insurance fraud.

The federation has also set up a shared search engine for members to check information provided by claimants concerning their claims history.

IIF chief executive Michael Kemp said that since the campaign was launched three years' ago, 2,837 cases of suspected insurance fraud have been reported by members of the public to Insurance Confidential, the hotline set up by the federation. He said a range of cases have been referred for criminal investigation, including one case involving €6 million.

"As a result of this campaign on fraud, consumers are benefiting directly in the form of cheaper premiums," Mr Kemp said. He said genuine claimants had nothing to fear from the Insurancelink II search engine that is due to go live in coming weeks. The new rebuilt system will allow claims managers to search up to two million records in under five seconds.

Minister for Justice Michael McDowell said the Government would continue to support the federation's campaign. He said 52 of the 67 recommendations in the 2002 Motor Insurance Advisory Board action plan, had been implemented or partially implemented.

The federation released details of a number of recent fraud cases. In one case prison sentences ranging from five years to 18 months were handed down to 15 people from a range of professions including company directors, a car salesman, a garda and a large farmer. The case centred on staged motor accidents in the Midlands, which were linked to a local garage proprietor. In another case a false claim from the owner of a BMW X5 jeep led to a conviction in the Dublin Circuit Criminal Court. The claimant, who was seeking €45,000, had driven the vehicle into flood waters while only having third party cover. He took out comprehensive cover and then alleged the damage occurred three days later. He was assisted in his attempted fraud by a tow truck driver.