More claims are being rejected than before due to fraud, according to one car insurance provider.
Cases of car insurance firms refusing claims due to misleading information from customers have increased by 30 percent over the past six months, the AA has claimed.
According to the car insurance provider, undisclosed convictions, failing to tell insurers about previous claims and "fronting" - where customers lie about who is the main driver of the vehicle involved in the incident - are all becoming increasingly commonplace. More generally, fraud is estimated by the AA to add around £30 to all UK premiums.
Simon Douglas, director of AA Car Insurance, said: "Over the past six months we have seen a huge upsurge of cases where insurers have cancelled cover because customers haven't informed them of important facts. Not telling the whole truth amounts to fraud and can result in your cover being voided, possible prosecution and potentially thousands of pounds in costs, especially if there are injuries involved."
The provider has also released a series of "case studies", showing typical instances of car insurance fraud. One fronting incident saw a man taking out insurance for his son's car - taking advantage of the lower premiums paid by men of his age group.
Subsequently, the car was written off by the young son in a crash - and the fronting was discovered by the insurer. The man was left £12,000 out of pocket and facing higher future premiums due to the fraud.
