Research reveals extent of ignorance over consequences of insurance fraud

Research from Ageas UK and YouGov into public awareness and attitudes towards insurance fraud has revealed that nearly three quarters of respondents, who all have motor or home insurance, know little about the consequences of committing insurance fraud.

The research* showed that while 96% of respondents agree insurance fraud is a criminal act, not all fraudulent activities were viewed as being equally wrong. Based on their own judgement of the appropriate penalties for the different types of fraud, the survey showed that participants formed a nuanced spectrum of expected consequences. For example, 23% of respondents thought that failing to disclose the correct information cannot be classed as a criminal act.

Of those asked:

• 11% said they would commit insurance fraud if they thought they could get away with it
• 55% said knowing more about the potential consequences of insurance fraud would deter them
• 39% said just knowing how much fraud caused the cost of their insurance to increase would act as an effective disincentive. 

Commenting on the findings, Katie Davies, Director of Underwriting Services and Fraud at Ageas UK, said:

“While most of the survey respondents recognised the general principle that fraud increases the cost of insurance for all policy holders, many, who admitted they had at some point misrepresented their circumstances, did not connect their own actions to these broader consequences.

“As insurance is a contract of trust between the insurer and their customer, we need to do all we can to help customers understand the broader consequences of fraudulent activity, whether that be an increase in the cost of premiums for everyone or the personal consequences of a cancelled policy or criminal conviction.”

Nicola Smith, Intelligence and Investigations Manager at the Insurance Fraud Bureau (IFB), said:

"Those who are deliberately dishonest with their insurer face serious consequences; this includes being placed on the Insurance Fraud Register (IFR), which will likely make it harder and costlier for them to access essential insurance services for years to come.

"As Ageas highlights, there is a need for more public awareness. Our ongoing Fraud Cons campaign is helping to tackle this, reaching millions to help educate people on the risks of dishonest activity and encourage honest behaviours."

 

 

*This research was conducted by YouGov on behalf of Ageas to explore public attitudes and behaviours around insurance fraud. It combined an online survey of 2,048 UK adults (fieldwork: 31 January – 11 February 2025) with in-depth qualitative interviews (fieldwork: 10–21 February 2025) involving 16 participants identified as having a predisposition to commit insurance fraud. The sample included both motor and home insurance policyholders, and results were weighted to be nationally representative by age, gender, and region.