The British Vehicle Rental and Leasing Association (BVRLA), the trade body for companies engaged in the leasing and rental of cars and commercial vehicles, has joined forces with Hill Dickinson in a bid to pin-down fraudulent activity within the self-drive hire sector.
The collaboration between the two organisations will see BVRLA members provide their 2014 claims data to Hill Dickinson. The firm will then run the information through its Netfoil rental database which it has created specifically for the initiative.
Each rental company will receive a case-by-case assessment of its 2014 claims experience, together with the ability to benchmark individual counter fraud arrangements against the industry. The study will identify branch specific or process issues to allow renters to focus on fraud prevention, as well as improving detection rates. Open claims linked to fraud will be identified, together with recovery opportunities on those cases closed where fraudulent or high-risk claims have already been paid.
Combined research findings will outline areas of focus for the rental industry providing a clear insight into the scale and nature of the fraud problem. Fraud rings, accident management companies and serial claimants targeting the industry will be identified, together with regional hot spots.
Gerry Keaney, BVRLA chief executive, said that the data-sharing initiative was an excellent opportunity to gain a greater understanding of the size and scope of fraudulent insurance claims in the rental industry.
“By sharing historical information with Hill Dickinson, the rental industry can make further gains in reducing its risk profile and lowering insurance premiums,” he said.
Peter Oakes, head of fraud at Hill Dickinson said: “The self-drive hire sector is a favourite target for opportunist and organised fraudsters looking to use rental company vehicles and insurance policies to facilitate substantial claims for fake injuries, credit hire, storage charges and vehicle repairs arising out of staged and induced accidents.”
He added that with the support of BVRLA, the two organisations could defeat fraudsters that were eroding profits for rental companies and endangering other road users.
BVRLA and Hill Dickinson will publish the research findings in May 2015.