The Insurance Fraud Bureau (IFB) is to extend its work against organised fraud into other product lines, after the launch of its new strategy (2015 to 2019).
Organised liability fraud, which includes ‘slip and trip’ scams, and fraudulent industrial disease/injury claims, is likely to be top of the IFB’s list as the bureau prepares to expand its historical focus on motor from 2015. The IFB vision statement is ‘To strategically manage fraud risks on behalf of the insurance industry as the central hub for all fraud data and intelligence’.
The new IFB strategy, which has been developed after a month-month review and consultation with stakeholders, will also see the IFB defining best practice for intelligence sharing on behalf of the industry, with a long-term view of establishing the IFB as a central hub for all fraud data and intelligence.
Ben Fletcher, IFB Director, said: “Organised criminal gangs (OCGs) targeting our industry are not product loyal. Until now, there has been no visibility or management of organised fraud across other product lines, beyond motor. The industry has now spoken. And whilst ‘Crash for Cash’ will remain a core focus of the Bureau moving forward, the IFB has been entrusted with leading the fight against organised fraud across all general insurance lines.”
Since its formation in 2006 to tackle ‘Crash for Cash’ fraud, IFB reports that its investigations have led to over 1000 arrests and 260 years of prison time for UK motor insurance fraudsters. John O‟Roarke, IFB Chairman, said: “The new IFB strategy marks a clear statement of intent from the insurance industry to continue tightening the grip on all forms of fraud. Disrupting organised fraud in new product lines and coordinating intelligence sharing is a timely and natural evolution of the IFB, which has established itself as a key component of the insurance industry‟s counter-fraud strategy since 2006.”
Work in 2015 will initially focus on identifying where the IFB should focus first, taking into account the relative risks and likely return on investment from product lines.
Aidan Kerr, Head of Property, Fraud & Specialist Lines at the Association of British Insurers (ABI), said: “With the Insurance Fraud Register (IFR), IFB and Insurance Fraud Enforcement Department (IFED) at the forefront of the industry crackdown, the industry has developed a robust counter-fraud strategy encompassing prevention, detection and enforcement. The expansion of the IFB‟s focus beyond motor into new product lines will further enhance the industry’s detection capabilities, which in turn reduces fraud losses for both insurers and honest policyholders.”
About the IFB
The Insurance Fraud Bureau (IFB) is a not-for-profit organisation, set up in 2006 by the Association of British Insurers (ABI).
