Thursday 19 April 2018

Motor Insurance Bureau outlines commitments to reduce false claims

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Ellie Donnelly

Ellie Donnelly

The Motor Insurers’ Bureau of Ireland (MIBI) has announced a number of commitments which are aimed at substantially reducing the success of false claims.

The commitments include undertaking a comprehensive evaluation for every claim received and flagging any which do not have sufficient information, and liaising with Gardaí to investigate any malicious claims without merit.

In addition the MIBI said that a new system is being developed to provide more information about uninsured drivers on Irish roads, which will include the capacity for automatic number plate recognition.

"Insurance fraud can’t be tolerated. It is a scourge on Irish roads. It not only adds to the cost of insurance premiums, we also estimate that hundreds of injuries are sustained every year because of claims fraud related activity," David Fitzgerald, CEO of the MIBI said.

The news comes following a Department of Justice decision to look at strengthening the law to clamp down on people lying for cash in personal injuries claims.

Since the beginning of the year the MIBI estimates that it has generated over €1.8m in fraud savings while a further 158 new cases have been flagged as suspicious and are being thoroughly investigated.

According to the MIBI’s Fighting Fraud report as many as one in every eight insurance claims they handle are 'suspicious'.

Claims fraud causes a number of problems for Irish motorists including increasing the cost of insurance policies.

The MIBI estimate they receive hundreds of claims every year where the evidence does not support the case being made.

The MIBI is a not for profit company that was established to compensate victims of road traffic accidents caused by uninsured and unidentified vehicles. Every year the MIBI makes annual payments in the region of €55 - €60m, receiving thousands of insurance claims.

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