It has been reported by way of car insurance news that insurance companies specifically car ones are trying to catch out fraudsters by utilizing social networking sites. The reason being this fraud is costing a lots of money.

It has been reported that increases of eleven and a half percent have taken place on comprehensive cover. This is very unfair to the drivers which are not committing fraud. It has been reported that that is causing premiums to boost at about sixty-three dollars per year UK insurance news. This helps it be more essential for people to look around and get probably the most affordable cover possible.

The recession is considered to be part of the reason for this fraud taking place. It has forced people to become dishonest, fraud gets committed and the premiums escalate. Unfortunately, the innocent suffer.

Certain social networking sites are however exposing this by sharing information. People are submitting messages daily on a twenty-four seven basis. This is helping a somewhat.

What the fraudsters may be unacquainted with is that information can be utilized in court, as the info was created public via the site. This makes this news of immense value to the carrier companies. Ultimately the responsibility of these posts lay with the social networking sites while they control privacy issues.

You will find two main kinds of fraud. One is where claims are exaggerated in order to receive larger payouts and the other is where accidents are made on purpose so claims could be made. The tragedy with this particular kind is that innocent individuals are hurt in these accidents.

A couple of legal companies have reported success by utilizing information accessed on these sites. They’ve had the opportunity to obtain evidence that’s prevented the unnecessary paying out of claims. It has saved carriers thousands.

3rd party theft and fire premiums have increased by twelve point seven percent. It has not helped the man in the road since the high cost of living has already been eating at his dollars. Some reports that while crime may be reducing this have now been negated by the high rate of fraud going on currently.

Online applications have now been blamed to a level because it is to provide false information via this medium and it is even easier to acquire coverage than it ever has been doing the past.

All the above information highlights the significance of keeping an eye or an ear on car insurance news, so you know when to find cheaper cover.