'Ghost broker' offers NHS workers fake car insurance


A man was arrested on the 27th May 2020 by the City of London Police for acting as a ‘ghost broker’, selling fraudulent car insurance, and recently offering the same to NHS workers at a discount.

Officers from the City of London Police’s Insurance Fraud Enforcement Department (IFED) executed a search warrant at an address in Luton and arrested a man, 25, on suspicion of Fraud by False Representation.

The man is suspected of advertising fraudulent car insurance services via social media whilst unregulated by the Financial Conduct Authority.

Officers also arrested another man, 20, at the same premises, on suspicion of money laundering. 

Detective Chief Inspector Edelle Michaels, head of the City of London Police’s Insurance Fraud Enforcement Department (IFED), said:

“Fraudsters have no qualms in using national tragedies, including COVID-19, to try and exploit innocent members of the public and in this targeting even members of our NHS and so it is vital that people remain wary. We are determined to continue operational activity to target suspected insurance criminals and protect the public.

“We would always encourage drivers to be wary of heavily discounted prices they see online, such as social media. Whilst cheap offers may be tempting, purchasing car insurance through a ghost broker will end up costing you far more in the long run – both financially and in points on your licence.”

IFED initially became aware of the suspect following a referral from the Insurance Fraud Bureau.

Both men were interviewed and have since been released under investigation while officers continue with their enquiries.