Don’t risk fraud – Insurance expert warns drivers of fronting consequences

• A quarter of young drivers would lie to get cheaper car insurance

• Falsely claiming to be a car’s main driver to receive cheaper insurance is called fronting

• Fronting can result in car insurance fraud charges and receiving a criminal record

• Connor Campbell, expert at Independent Advisor Car Insurance, shares useful tips on legally lowering car insurance costs.

A quarter of drivers between 18 and 24-years-old would lie to get cheaper car insurance, shows data from a January 2024 study conducted by the Insurance Fraud Bureau[1]. Lying to be the main driver of a vehicle to receive cheaper insurance is referred to as “fronting” and is illegal.

Fronting can have serious consequences from invalidating your car insurance policy to car insurance fraud criminal charges.

To ensure drivers are as informed as possible, the experts at Independent Advisor Car Insurance have provided a detailed guide on everything drivers need to know about fronting.

Why does fronting occur?

“The main motivation for fronting is to save money in an era of rising car insurance costs and the cost-of-living crisis.

“Car insurance has always cost more for young drivers, but the past couple of years have seen premiums rise across the board, with younger drivers seeing some of the steepest increases.

“Statistically, younger drivers have more accidents than older, more experienced drivers. According to figures from the Association of British Insurers (ABI), drivers aged 17 to 24 only make up 7 per cent of UK licence holders and drive fewer miles than the average. Still, they are involved in 24 per cent of all fatal collisions. This is the main reason young and new drivers tend to pay more than their older, more experienced counterparts.”

What consequences does fronting has?

“Insurers normally find out about fronting when a claim is made – and there can be severe consequences.

“First, the claim is likely to be rejected. If a third party is involved and makes a claim against your insurance, your insurer will be obliged to pay them, but they may then pursue you to cover it afterwards.

“Second, your insurer is likely to cancel or void your policy, leaving you uninsured. Car insurance is mandatory in the UK, and it’s illegal to drive without cover.

“Finally, your insurer might prosecute you for fraud. Prosecution could mean going to court, getting a criminal record, paying a fine, or getting penalty points on your driving licence.”

How can you save money on car insurance and avoid fronting?

When applying for same day car insurance, the insurer will ask you a number of questions, which you need to answer honestly, to determine your premium, as this is dependent on various factors.

Connor Campbell shares useful tips on legal ways you can save money on car insurance:

• “Increase the security of your vehicle: the more secure your car is, the harder it will be to steal. A Thatcham-approved security device will lower the cost of your insurance. Some insurers also offer discounts if you’ve got a dashcam, as these can help prove who is at fault in an accident.”

• “Reduce your mileage: when you ask for a car insurance quote, the insurer or price comparison site will ask you to declare your annual mileage. In general, the fewer miles you drive, the cheaper your premium will be.”

• “Pay your car insurance upfront: when you get a car insurance quote, your premium will be presented as an annual figure – but the insurer may also give you the option to pay monthly. It’s cheaper to pay annually, as spreading the cost is essentially taking out a loan from the insurer, which will add interest on top of your monthly payments.”

• “Build a no-claims discount: to encourage people to drive safely and not make small claims, insurers offer drivers the chance to build a no-claims discount (also known as a no-claims bonus or NCB). Each time you go 12 months without making a car insurance claim, you’ll get another year’s NCB and a bigger discount.”

• “Increase the voluntary excess on your policy: the excess on a car insurance policy is the amount of money the policyholder agrees to pay up front in the event of a claim. Every car insurance policy comes with a compulsory excess set by the provider, with drivers also having the option to add a voluntary excess to their policy. If you make a claim, your total excess will be the sum of these two figures. In general, the higher your total excess, the lower your insurance premium will be. However, only choose a voluntary excess you can realistically afford – you don’t want to price yourself out of ever making a claim.”

• “Add a named driver: for young or inexperienced drivers, adding a parent with more driving experience to their policy as a named driver will normally see them benefit from cheaper premiums – but be honest about who the real main driver is in order to avoid fronting.”

• “Don’t modify your car: if your car has been altered since it was manufactured, it will be considered “modified” by insurers. Cars with modifications – whether they are performance-related or cosmetic – cost more to insure, as there is an increased likelihood of making a claim, and the value of any claim is likely to be higher.”

• “Take out black box or telematics insurance: with telematics car insurance, your driving is monitored via a “black box” fitted to your car or a smartphone app. Telematics can often result in saving money, but only if you’re a good or low-mileage driver. Some insurers also use telematics technology to offer pay-as-you-go car insurance, where you pay for cover based on the number of miles you drive each month.”

Visit Independent Advisor Car Insurance for more insights from our expert editorial team