Drivers prepared to commit fraud to bring down premiums

Millions of drivers are considering taking drastic action to reduce the cost of keeping their cars on the road, according to new research from Gocompare.com.

The survey of over 1,500 UK motorists revealed that while almost two-thirds said they were beating the credit crunch by using their car less and driving more fuel-efficiently to save money, an alarmingly high number of drivers admit they would consider withholding information from their insurance company to reduce their premiums.

22% said they would consider lying about the exact nature of where their car is parked, while 28% said they would withhold information about their exact annual mileage if it would reduce their premium. The true cost of the vehicle and the nature of its use (business use or domestic) were also mentioned by more than 10% of drivers.

In addition to withholding information from insurers, many of the drivers surveyed said they would consider cutting back on cover at their next renewal by excluding options such as a courtesy car (57%), breakdown cover (40%) and legal expenses cover (36%).

Hayley Parsons, chief executive of Gocompare, said: "On the one hand, it is understandable that motorists are economising by driving more efficiently, but it's worrying that so many are considering such a risky approach to saving money as withholding information from their insurer.

"With people feeling the effects of the recession, everyone is looking to save on their outgoings. The important thing to remember is that whilst it might be tempting to alter certain details or omit key information, this is treated as fraud by insurers and could result in your policy being invalidated."

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