- Motorists aged 17 to 25 are being warned about "ghost broking" scams , where criminals sell bogus insurance policies through social media and messaging platforms.
- A survey indicates that around half (49%) of young drivers have purchased insurance via social media or messaging apps, with 39% unsure how to identify a fake policy.
- These fraudulent policies are either entirely fake or contain falsified details to artificially reduce the price, often resulting in cancellation shortly after purchase.
- Victims are left unknowingly uninsured, facing potential prosecution, fines, and even having their car seized.
- The Financial Conduct Authority (FCA) advises young drivers to be cautious of deals that seem too good to be true, avoid offers exclusively on social media, and verify brokers using the FCA Firm Checker tool.
IN FULL
The ‘ghost broking’ car insurance scam targeting young drivers on social media
