Car Insurance Fraud Information and Tips

Was the accident staged?

Unfortunately not all accidents are just accidents. There are people who plan motor accidents and commit insurance fraud as a result.

Be aware of some road scenarios that may be staged accidents.

1. Staged accident 1: Another driver motions to the victim to merge into traffic and then speeds up as the victim merges their vehicle causing an accident. Later the other driver will deny that they motioned to the victim to merge. This is also a common accident and could just be the result of aggressive driving.
2. Staged accident 2: A suspect driver purchases a damaged vehicle, drives it to a public location and claims to be the victim of a hit and run. The police are often called to verify damage.
3. Staged accident 3: Two friends arrange to stage an accident and leave a stationary car on the road and drive another car into it. You may witness this in remote locations.

Follow these simple tips to avoid becoming a victim of staged accidents and subsequent insurance fraud. These include:

1. Avoid tailgating. Allow plenty of room from the vehicle in front of you in case it deliberately stops.
2. Call the police to an accident scene and get a police report, even if damage is minor.
3. Photograph vehicle damage from an accident and the number of passengers in the other car. Keep a camera in your car or use the camera on your mobile phone.
4. Take note of people who may appear at the accident scene shortly after it occurs.

Re-birthing. Is this the right car?

Many organised car rings are involved in re-birthing vehicles. Re-birthing is when a damaged vehicle is purchased at auction and an identical car is stolen. The criminal transfers the identity from the damaged vehicle to the stolen vehicle and sells or keeps the ‘clean’ vehicle.

To stop the ring of re-birthing you should always ask for the full history of your second hand car and get the owner's consent to check that the paperwork matches the actual Vehicle Identification Number and Vehicle Registration details.

You can help by reporting any suspected insurance fraud to our dedicated hotline on 1300 881 725 or by completing our suspected insurance fraud report. Let's work together to reduce the impact of insurance fraud on the community.