Explaining fraudulent insurance claims may be a difficult thing to do as evidence may be required to validate an appeal.
Such is the opinion of Peter Hinchcliffe, lead insurance ombudsman at the Financial Ombudsman Service, who used the example of fronting while speaking on BBC Radio 4's Money Box show.
Fronting occurs when an older driver insures a vehicle in their name when they are not the main user of the automobile and a younger driver spends the majority of the time behind the wheel, which can lower
car insurance premiums.
Mr Hinchcliffe warned people who may be considering fronting that if "you have said you are the main driver and the car has been in an accident, or [is] stolen, at your son or daughter's university, you have got a lot of work to do to explain how that has come about".
It was recently reported by the Association of British Insurers that fraudulent insurance claims totalling more than £1 million are uncovered by providers on a daily basis.
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