Fraud Update: ID Theft

What’s impersonation and identity theft?
  • Impersonation/ID theft is a by-product of Ghost Broking and is when an individual’s identity is stolen
  • The fraudsters use personal identifiable information (including name, date of birth, contact details and bank account information) to obtain financial benefits including insurance and finance.

Over the last few months there’s been a growing trend in impersonation and identity theft affecting the insurance industry. We’re committed to the detection and prevention of fraud – making sure we tackle it head on.

What’s the problem?

Ghost brokers are evolving their pattern of behaviour to make sure their policies avoid detection. The fraudsters are obtaining data from sources, often in the public domain, such as Companies House to secure insurance that would appear to be genuine. They then add themselves as a named driver, when in fact they are the true user of the vehicle.

It’s important to raise awareness and be vigilant to help us protect both our businesses. Here’s a few tips to help you prevent exposure:

What can you do to prevent exposure?

Payment controls – Introducing AVS

AVS is used to verify credit card data, such as the billing address and postcode, against the Visa/MasterCard billing information of the cardholder. AVS verifies that the billing address of the credit or debit card matches the address that was given by the customer.

Documentation

Remember to validate named drivers information where possible. Obtain named driver addresses – if the address differs you should request validation documents, such as a copy of driving licence for all drivers.

If you detect any form of fraud please contact your account manager in the usual way immediately.



Categories: Commercial Lines, Personal Lines

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