This sorry tale highlights the need for better systems to prevent fraudulent applications for insurance.
It is probably true that no system can be made entirely proof against a determined attempt at fraud, but some measures can make it a lot harder.
- Random identity checks on cases, which can amount to a call to the applicant to check some details on the application form.
- Systems which pick up the multiple use of addresses, bank accounts, or direct debits
- Exception reporting which flags agencies with a sudden increase in activity