CTP fraudsters run out of NSW
GREEN slip fraudsters have been driven out of NSW with the state government declaring it has broken the crooks’ business model that pushed up insurance premiums.
NSW
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GREEN slip fraudsters have been driven out of NSW with the state government declaring it has broken the crooks’ business model that pushed up insurance premiums.
A combination of a police crackdown and stricter compulsory third party claim rules has resulted in 4000 fake insurance claims being knocked out of the system since 2016.
It is the first reduction in CTP claims since 2008 and has saved the scheme about $205 million, which translates to cheaper premiums for most motorists.
The average motorist now saves $157 a year on their greenslips.
Since August 2016, detectives from the State Crime Command have been operating Strike Force Ravens to investigate syndicates running CTP insurance scams, arresting 18 people and laying more than 160 charges.
Types of fraud include staged accidents, lying about the number of people in an accident and collusion between drivers, lawyers and health professionals to make dodgy claims.
The government believes fraudsters have now headed interstate because of the pressure exerted in NSW.
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Finance Minister Victor Dominello said the results were a win for motorists doing the right thing.
“We’ve smashed the fraudsters’ business model and they are now fleeing interstate,” he said. “The strike force is ongoing and no stone will be left unturned.
“By cracking down on these crooks and overhauling the CTP scheme we’re delivering justice to motorists through cheaper green slips.”
Financial Crimes Squad commander Detective Superintendent Linda Howlett said NSW police had been contacted by other states for advice on CTP fraud.
“We’ve been told other states have been seeing an increase in claims against their schemes — and in some cases the increases are quite significant,” Det Supt Howlett said.
She said the strike force remained active and would continue to target anyone who attempts to defraud the CTP scheme.
“If you visit a lawyer before you visit the doctor after a crash, you should probably expect a visit from police,” she said.