Londoners are being warned of a widespread network of crash for cash fraudsters on mopeds who are targeting innocent road users, and are thought to have attempted £27 million worth of bogus claims (nearly £40,000 a day).
A multi-agency investigation led by the Insurance Fraud Bureau (IFB), City of London Police’s Insurance Fraud Enforcement Department (IFED), and several insurers, found an estimated 2,250 people in London were victims of crash for cash moped scams in the past two years. Many of the suspected fraudsters are believed to be couriers delivering items such as take-aways and are predominantly targeting drivers in North London’s most affluent areas.
As there is little awareness of the tactics being used by crash for cash moped scammers, it is believed thousands more people could have unknowingly been targeted. As a result, IFB and IFED have launched an urgent appeal to help road users learn the warning signs of the scam and report evidence to Cheatline online or via 0800 422 0421.
Ursula Jallow, Director at IFB, said: “Crash for cash moped scams have become epidemic in our capital. These dangerous fraudsters are driving head-first into unsuspecting motorists, leaving countless victims terrified and insurers facing millions of pounds in bogus claims.
“We’re collaborating closely with IFED and the insurance industry to bring every one of these reckless fraudsters to justice. We encourage all Londoners to watch out for the unique signs of crash for cash moped scams and to report any evidence to our Cheatline.”
City of London Police’s IFED’s Detective Chief Inspector Tom Hill, said: “Crash for cash fraudsters have little regard for the lasting impact that their actions can have on victims, so it is concerning to see that over 2,200 people have been targeted by moped drivers in just two years.
“We urge road users to learn the tell-tale signs that can precede these collisions, as knowing them can help protect you from falling victim. If you suspect you have been targeted, report it to Cheatline.”
Matthew Stevens, Anti-Fraud Director at Hastings Direct, said: “This type of fraud not only has a negative impact on insurance premiums, it is also very dangerous. It is a clear demonstration that these criminals have no regard for public safety and no concern for innocent and unsuspecting road users, who are often left traumatised following these incidents.
“At Hastings, we are working tirelessly with the Insurance Fraud Bureau, the police and other insurance companies to help tackle this and all types of insurance fraud. My advice to motorists is to report any concerns about a collision of this type to your insurance provider and to get the details of any bystanders who may act as witnesses.”
Unlike traditional crash for cash scams where fraudsters slam on their car’s brake in hope that the victim behind can’t stop in time, this con involves mopeds being driven at oncoming cars. The moped scammer hides out of sight in a side road or parking space, and then deliberately drives into the victim as they head towards them.
They then usually throw their moped to the ground and drop to the floor to dramatize an injury, before taking photos of the incident. The fraudster sometimes has an accomplice to act as a witness and help facilitate the fraud.
There have also been reports of the accomplice using a van to help obscure the victim’s view before the moped drives into them, making the scam easier to carry out. Most reported incidents have taken place in North London. Locals are encouraged to be vigilant of any moped users who appear to be lingering unnecessarily on public roads.
IFB and IFED’s ongoing investigations into crash for cash indicate similar incidents could date as far back as ten years ago. However, since 2021 there has been a surge in activity with collisions reported across London’s most affluent boroughs, including Barnet, Brent, Camden, Enfield, Haringey and Hackney, Islington, and Kensington and Chelsea.
The issue of crash for cash moped scams in the capital has now grown to become IFB’s biggest ever investigation. Nearly every motor insurer in the country has been targeted, with bogus claims totalling £27 million in value. Efforts to stop other activities of illegal moped drivers were recently highlighted by the Home Office, who pledged a crackdown following 60 arrests made across the capital.
Mark Allen, Assistant Director, Head of Fraud and Financial Services, Association of British Insurers, said: “Staged crash for cash scams are a dangerous menace on our roads. Often highly organised, and constantly looking for new targets to exploit, these criminals put lives at risk. The industry is determined to do all it can to protect innocent motorists from these frauds through working collaboratively to drive this scourge from our roads.”
