Wales becoming the car insurance fraud capital of the UK

Car owners have seen insurance premiums soar.

Car owners have seen insurance premiums soar.

Car insurance fraud experts have revealed that Wales is currently experiencing an epidemic of car insurance fraud.

The research, from Keoghs, a law firm who specialise in investigating car insurance fraud revealed that Wales has seen an increase in fraudulent claims in the past two years.

The firm believe the current climate was to blame for the number of scams. In 2009 all of Wales, apart from Cardiff were considered to be low risk, but just two years on, Llandudno has joined Cardiff as high risk, and Swansea and Newport are now considered moderate risk.

Cardiff has now risen from 47th to 26th in the league for motor insurance fraud, and now accounts for 1.27% of all suspicious claims in the country.

The city ranks 9th for those who exaggerate their loss, claiming for far more than they should be.

AAs Ian Crowder said, “This is what has led to the sharp rise in insurance premiums since we started recording them. The majority are paying the price, which is unfair, particularly as it tends to be the people who can least afford who pay.”

As a result consumers in Wales are suffering, with their average premium in the first quarter of the year up 9.8% on average, well above the UK average of 5.9%.

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