Insurance fraudsters must face the courts

WITH the widespread and increasing sophistication of organised fraudsters staging fake car crashes for compensation, a more robust response from the authorities is required. A Galway court recently heard that 79 people from the Traveller community were involved in a network of insurance scams that Aviva Insurance estimates to have cost it between €1.5million and €2million in payouts.

In a separate case in Cork, a group of criminals were convicted with the aid of Garda CCTV which showed the occupants of a car get out before the vehicle crashed and then sit back in the vehicle to wait for the emergency services.

Satisfying as it is to see fraudsters brought to justice, the fact is that these cases represent only the tip of the iceberg. Motorists are increasingly at the mercy of racketeers and the consequences of their illegal activities are far reaching.

We feel it in our pockets as the insurance industry ultimately passes on the €200million cost of the fraudulent claims to the customer in an estimated €50 hike in motor premiums.

Our health service is also exposed when ambulances are diverted unnecessarily to phantom accidents, raising the possibility that a genuine emergency may be deprived of vital medical attention. Our courts, which often struggle to cope under the groaning backlog of cases, have their resources frittered away on chancers.

The stand taken by Aviva in the Galway case where Traveller brothers Martin and John Gerard Corcoran had €38,000 of compensation claims dismissed is timely. A team of researchers from the company investigated the brothers and justice was served with the help of close Garda co-operation. It’s time consuming and costly both for the industry and the gardaí but if it results in increased convictions and more rejected claims, then an end will be brought to this nasty and corrosive practice.