As many as one in five motorists are tempted to lie on their insurance forms to get as cheaper deal. The Association of British Insurers (ABI) faces rising amounts of non disclosure mainly with regard to speeding offences and want insurers to gain access to motorists driving histories when they apply for insurance.
The ABI have approached the DVLA to see how it can gain access to its databases as currently insurers see information on convictions only when a claim is made. If the DVLA would give consent at point of sale rather than insurers asking them for written consent to check details fraud could be avoided. Motor fraud had risen to £360 million in 2008 and fraudulent claims cost policyholders around £30 to £40 extra on their premium to cover this.
According to the AA a male Ford Focus driver would pay £209 with a clean licence, £236 with a speeding conviction and £251 with a mobile phone conviction, if he had both the annual premium would be £335.