insurance fraud?

cxx666

Hi,

I have a querie, I believe a friend of mine may be unknowingly committing insurance fraud but I'm not 100% sure.

I am aware of the practise of "fronting" and what it is. However, would someone please clarify what the position is if the parent is the registered owner of the car.

Basically a friend of mine is the only real driver of their car, yet their dad is the registered owner of the car, and the insurance policy is in his name with my friend as a named driver. I think it amounts to insurance fraud, but I'm not sure and am reluctant to bring it up with them because when they were looking for a car and I tried to give them advice based on my experience, that their dad knew a lot more about motoring than I did and I can't be bothered getting a mouthful again unless I know I'm right

If someone would please clarify this I'd be very greaful, and it genuinely IS a friend and not me. I am the registered owner of my car and the insurance policy is in my name, hense why I dont really know the ins and outs of being on parents policies

mshepp

cxx666 wrote: »

Hi,

I have a querie, I believe a friend of mine may be unknowingly committing insurance fraud but I'm not 100% sure.

I am aware of the practise of "fronting" and what it is. However, would someone please clarify what the position is if the parent is the registered owner of the car.

Basically a friend of mine is the only real driver of their car, yet their dad is the registered owner of the car, and the insurance policy is in his name with my friend as a named driver. I think it amounts to insurance fraud, but I'm not sure and am reluctant to bring it up with them because when they were looking for a car and I tried to give them advice based on my experience, that their dad knew a lot more about motoring than I did and I can't be bothered getting a mouthful again unless I know I'm right

If someone would please clarify this I'd be very greaful, and it genuinely IS a friend and not me. I am the registered owner of my car and the insurance policy is in my name, hense why I dont really know the ins and outs of being on parents policies

Im no expert but it doesnt sound like fraud, your friend is just a named driver on the policy. This practice can make the insurance cheaper so this is maybe why he has done it.

iamanalias

If your friend is down as the main driver (as named driver) then it should be fine. If not, it's fraud (lying about the reality to save money is fraud).

custardy

mshepp wrote: »

Im no expert but it doesnt sound like fraud, your friend is just a named driver on the policy. This practice can make the insurance cheaper so this is maybe why he has done it.

its the perfect example of insurance fraud.
the father is the registered keeper with the policy in his name however the friend does that majority of the driving.

Premier_2

Yes, it depends on who is classed as the main driver (i.e. the one who uses the vehicle most) on the proposal.

As with any attempt to falsely disclose on the proposal, the insured could find themselves in difficulty should the they ever need to claim and the insurer uncovers the true facts.

custardy

Premier wrote: »

Yes, it depends on who is classed as the main driver (i.e. the one who uses the vehicle most) on the proposal.

As with any attempt to falsely disclose on the proposal, the insured could find themselves in difficulty should the they ever need to claim and the insurer uncovers the true facts.

mot just that,getting done for any form of insurance fraud will destroy the chance of reasonable insurance for many years

goldspanners

if they gave you a mouthful of abuse the last time you tried to help i would be very reluctant to try and help again. let them make thier own mistakes, i wouldnt get involved.

jd87

It is fraud. Shop them to the insurance company. I'm fed up of people like this making it more expensive for those of us who are honest.

Inactive

goldspanners wrote: »

if they gave you a mouthful of abuse the last time you tried to help i would be very reluctant to try and help again. let them make thier own mistakes, i wouldnt get involved.

Agreed, don't get involved in other peoples business unless they ask you to.

goldspanners

Inactive wrote: »

Agreed, don't get involved in other peoples business unless they ask you to.

im shocked and stunned! :eek:

nico26

The parent is obviously doing it to save money on the insurance and if there is any finance on the car obviously going to be in parents name.
I bought car for my son to have use of when he passed his test and I was the main driver named. But I did use the car throughout the day as my hubby was using ours for work and my son used it at night. On a whole he probably used the car more than me but I dont think I was defrauding anyone. I was paying £1800 as he was young and only passed his test for 6 months.

The second year I transferred the policy and the car into his name as to build up a no claims bonus for him.

My husband went abroad to work and what a hassle it was getting the insurance company to insure me as the main driver as it was registered in hubbys name. I phoned some other companies and they wouldnt even do it.