The Four Types Of Insurance Fraudster

We might not like to be labelled, but you can't argue with statistics! Here are the profiles of typical fraudsters and how far they're willing to go.

Motor, home contents and travel insurance fraud costs insurance firms more than £1bn per year. in turn, this costs us, as insurers charge more in premiums to cover the loss. Conservative figures have it that 6% of us have exaggerated a claim and 2% have made one up, which, according to the Association of British Insurers (ABI), means that around 3.3m people have committed insurance fraud in Britain.

It doesn't matter what our incomes are, we're all equally likely to commit insurance fraud. However, there are other characteristics that distinguish typical fraudsters, as research from the ABI reveals. The profiles are so consistent that I could even write my own gangster film based on the four stereotypical fraudsters plus the hero: the good guy. As far as I understand it, any good film idea starts with the characters, so here goes:

The Exploiter

The Exploiter is the meanest fraudster, the rebel perhaps. He resents insurance and tries to get everything he can out of it. He is highly assertive, aggressive, opinionated, materialistic and ambitious. He sounds like an insecure chappy to me!

The Games Player

As is typical for this kind of fraudster, he's an extrovert male. He's not as angry or as manipulative as The Exploiter, but he sees insurance as a game which he's determined to win. After all, there are those who say that insurance is gambling! He is perfectly happy to exaggerate claims and to lie about meeting the terms and conditions. I wouldn't play cards with this man.

The Revenge Seeker

Perhaps he used to be honest, but some time in his past the insurance industry has let him down and he wants revenge. Maybe he had a claim refused or reduced, and he's seeking an opportunity to get back what he feels is rightfully his. He maintains some principles though: he won't make up a claim, he'll just exaggerate.

By the way, if you're unhappy with how your claim is dealt with, or you think it's been mis-sold, don't brood about it then seek revenge. Write to the company to complain and, if that fails, contact the Financial Ombudsman Service.

The Tentative

The Tentative is the only woman of the group, as is typical of this type of fraudster. She doesn't like to make up claims, but, with some persuasion, she can be convinced that small-scale exaggeration is alright. Her sense of guilt and morality evaporates when she's told that it's the done thing.

The Honest

This one could never be a gangster; his heart is simply not in it. He has strong views that lying or exaggerating in anyway constitutes fraud. His personal moral code and fear of being caught are what stops him. Despite this, he is calm, relaxed and in command of his life. He also shops around for insurance and other financial products online.

Right, so those are the players. Which would you rather be? Aggressive, amoral, vengeful, gullible or self-assured? Now, after characterisation comes the plot...Er, sadly, I don't think the metaphor stretches to plots!

> The plot thickens! Be Honest: compare insurance quotes through The Fool.