Ghost Broking Scam Targets Young Drivers with Fake Car Insurance
Ghost broking is a growing crime where criminals impersonate legitimate insurance companies to sell fake or invalid car insurance certificates. These are typically marketed online through social media ads and AI-generated websites that appear legitimate.
Victims of ghost broking risk being uninsured when stopped by police, involved in accidents, or making claims. Consequences include court proceedings, driving bans, car destruction, and the possibility that their personal data may be traded on the dark web.
According to Aviva, the main targets are drivers aged 17 to 25. The average insurance premium for young London drivers is around £3,100. Reports indicate that ghost broking cases have increased by 22% in 2025 compared to 2023. Victims typically lose about £2,000, while criminals can earn substantial sums; one reportedly made about £150,000 from selling 550 worthless policies.
Scammers usually gather personal details and ask for payment by bank transfer before emailing a fake or altered insurance certificate to secure a cheap quote. For example, a 23-year-old seeking insurance for an Audi A3 was quoted £586 per year and directed to a website closely resembling that of a legitimate insurer.
To protect oneself, drivers are advised to avoid buying insurance advertised on social media. Legitimate brokers will guide customers to their official websites. It is crucial to buy only from brokers registered with the Financial Conduct Authority (FCA), which can be verified on the FCA registry.
If you believe you have been a victim of ghost broking, contact the Insurance Fraud Bureau’s CheatLine or Action Fraud. Also, reach out directly to the purported insurer to confirm any existing cover and verify what information they hold about you.
