Green slip fraud driving up insurance prices, police say

09:50 UTC+8 April 7, 2017 | Nour Haydar

(News Video)

Police believe a sophisticated syndicate is behind hundreds of fraudulent car insurance claims driving up the cost of green slips in New South Wales.

A special police strike force investigating dodgy green slip claims is examining cars retrieved from a river in south-west Sydney as part of a crackdown on insurance fraud.

Police divers alongside Strike Force Ravens detectives winched three submerged cars from the Georges River at Lansvale on Thursday after police searched two offices in Auburn and Bankstown on Wednesday.

Police seized documents and electronic storage devices for forensic examination during the raids.

Fraud and cybercrime squad commander Arthur Katsogiannis said investigators believe the syndicate is targeting the compulsory third party insurance scheme.

"Our inquiries have revealed similar inconsistencies in hundreds of claims, which we suspect is the work of an organised group," he said.

"Fraudulent claims cost the scheme millions of dollars every year, which is funded by premiums paid by law-abiding vehicle owners, like you and me."

Mr Katsogiannis said legal and medical professionals should be cautious when dealing with claimants to avoid being duped.

"It's also timely to remind legal and medical professionals to conduct due diligence when dealing with claimants to ensure your integrity is not being compromised."

NSW Finance Minister Victor Dominello said the scammers were costing motorists about $75 per green slip through higher premiums.

"We are absolutely determined to find where these shonks are and bring them to justice," he said.

"This is not just a fraud against insurance companies, this is a fraud against every motorist that is paying a premium for cars to get on the road in New South Wales.

"Every New South Wales motorist is paying a higher green slip premium because of this illegal and unethical behaviour."

Investigations are continuing and further police operations are expected.

AustraliaPlus

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Green slip fraud driving up insurance prices, police say

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