Sneaky Granadinos

(Granada Province) Did you know that of all the the provinces in Spain, Granada holds the record for fiddling insurance claims? Police investigations show that three percent of insurance claims in Granada are false. Doesn’t sound like much, does it? But trying to get money out of insurance companies by dishonest means has risen by 30% in the last year, owing mainly to the financial mess that just about everybody seems to be in.

But you would be wrong in thinking that it is the insurance companies that are suffering as a result, because they pass the cost along, meaning that if you pay a premium of 230 euros, 25 euros of that goes to ‘fraud-related expenses.’
Granada is not alone, obviously, and is accompanied by six brother, Andaluz provinces with above national average fraud stats… actually, it would be quicker to say which of the eight provinces are  below the national average: Cordoba and Huelva.

Ninety-five percent of false insurance claims involve car insurances and the other five percent belong to motorbikes.  The biggest culprits are vehicle owners under 26, followed by businesses with company vehicles.

However, what most gives insurance companies sleepless nights is not the average motorist trying to obtain insurance ‘funds,’  but the more organised networks, involving car-repair shops, doctors and lawyers, who go about their deceitful ways in a more professional and a more-difficult-to-detect manner.

Fraud involving damage to vehicles, as opposed to physical injuries is far higher, comprising 96.1% but, of course, the 3.9% that involves injuries is far more expensive in terms of pay outs.

The most popular fraud is including old damage on a claim, followed by faking pains and physical limitations.

(News: Granada, Andalucia)

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