Shropshire Star

Arrests over cash-for-crash scams that 'cost insurers £100,000'

Two men have been arrested in connection with a cash-for-crash scam that is believed to have cost insurers £100,000.

Published
Last updated

Officers executed warrants in the Washwood Heath and Alum Rock areas of Birmingham, plus another in Telford, today as part of an operation targeting criminal gangs who stage collisions to claim compensation.

Two men aged 34 and 45 - both Afghan nationals - were detained at the Birmingham addresses and are being held on suspicion of fraud and dangerous driving.

Five vehicles believed to have been used to commit the offences were also seized while documents were recovered from the Telford address.

It is alleged the men are behind up to 50 cash-for-crash collisions across the Midlands, including many around the Five Ways island in Birmingham and in Warwickshire and Evesham.

Detective Inspector Kerrie Martin from the economic crime unit explained how the scam worked.

“Offenders will jam their brakes on at roundabouts in a bid to force the following vehicle to crash into them - and we believe there have been at least 10 such incidents recently at Five Ways," she said.

“Our suspicion is these men have claimed around £100,000 from bogus insurance claims - but we are running a wider operation into an organised crime group, alongside the Insurance Fraud Bureau, that may have made millions from this scam over the last two years."

Lichfield arrest

A 30-year-old man from Lichfield was arrested on February 13 over the Five Ways collisions and has been released under investigation while inquiries continue.

The West Midlands has been identified as a UK cash-for-crash "hot spot" with Birmingham having 10 of the top 30 postcodes identified by the Insurance Fraud Bureau.

Det Insp Martin said drivers can protect themselves against becoming victims by keeping their distance from the car in front and taking extra care at roundabouts.

She added: “Drivers should also be wary of vehicles with brake lights that aren’t working as this can often be a ploy used by cash-for-crash offenders as it again gives victims less time to react to their sudden braking.

“Having a dash cam is also a good way to capture evidence of these type of collisions.

“If anyone believes they’ve been the victim of a staged ‘accident’ then they should contact police while at the scene and take photographic evidence."

Anyone who suspects someone may be involved with cash-for-crash is urged to call the charity Crimestoppers anonymously on 0800 555111 or the Insurance Fraud Bureau on 0800 422 0421.

Sorry, we are not accepting comments on this article.