Warning to customers to beware of ghost brokers

Warning to customers to beware of ghost brokers

Here at IFM, we are urging local residents be extra vigilant when buying motor insurance. This comes at a time when reported cases of customers being tricked into purchasing fake motor insurance policies by ghost brokers rose by 6 year-on-year in 2023, according to the latest data from the Insurance Fraud Bureau (IFB).

Ghost brokers are fraudsters who sell cheap motor insurance deals but issue policies that aren’t worth the paper they’re written on.

Ghost brokers often operate through websites or small ads offering cheap insurance.  They target people on a budget and communities where English is not the first language. They will often issue completely fictitious policies.

Alister Smith, Director of IFM has said: “This is an insurance scam which is being carried out by fraudsters, so the message to customers is to be extra vigilant when buying motor insurance particularly from unfamiliar sites. It also reinforces the importance of buying insurance based on value not on price. Customers can always contact IFM who will source robust insurance from reputable and reliable insurance companies.”