The Association of British Insurance (ABI) has said that 4,300 travel insurance claims made last year, worth a total of £5 million, were fraudulent; leading to stricter penalties to those found making such claims.

The ABI reported that last year over 80 fraudulent claims were made a week, including a doctor who made multiple baggage claims and a photographer who claimed £8000 worth of damaged equipment.

Police and insurers have teamed together in a crackdown on travel insurance fraud.

Information on fraudulent claims are recorded on an industry-wide database used by insurers and financial institutions, meaning that those who are identified could have their credit rating affected or  face an increase in other forms of insurance such as home and car insurance

As its easy to compare and purchase travel insurance on the web, those found cheating may not find it so easy because of the database.

The ABI’s Director of General Insurance Health, Nick Starling said ‘Travel insurance is there to cover you if things go wrong, not to pay for the cost of your holiday.

The vast majority of claimants are honest, but the dishonest few are in for a nasty and expensive shock this summer.’

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