The Hidden Dangers of Lying on Car Insurance Forms
Millions of drivers across the country are providing false information on their car insurance forms, a practice that puts them and others at significant risk. According to new research from Tempcover, a provider of temporary car cover, 16% of all drivers are engaging in what is known as “postcode porky pies” or other forms of deception. This could mean over 6.7 million drivers are lying to get cheaper coverage.
The study, which surveyed 2,000 drivers, highlights how these lies can lead to serious consequences, including policy voidance in the event of an accident. Many drivers are misrepresenting where their cars are parked overnight, claiming they have off-road parking or a private garage when they do not. Such deceptions are often done intentionally to reduce premium costs, with over a fifth of respondents admitting they provided the wrong address on purpose.
Among those who admitted to misleading their insurers, one in ten also reported giving a false home address. Some used a previous home or a work address for where they keep their vehicle, while others used a loved one’s address if they knew it would result in lower premiums. A quarter of those lying used their partner’s address, 20% listed their parents, and 7% went as far as using a random address. Nearly half of those who lied said they didn’t think it was technically a lie if their parents still lived at the address.
But these parking deceptions are just the tip of the iceberg. Drivers are also lying about mileage, driving history, fronting, and failing to declare modifications. One in five drivers told their insurer the wrong mileage, underestimating it, which may seem harmless but can affect how insurers assess risk. If a driver barely drives, this could lead to higher premiums because insurers might view the lack of recent experience as a risk.
Sixteen percent of drivers admitted to providing incorrect driving history, such as failing to report points on their license or past convictions. These omissions can impact premiums and even invalidate a policy during a claim. Another 15% of drivers confessed to fronting, which involves listing an older, more experienced driver as the main policyholder on a car they don’t primarily drive. This is illegal and results in invalidating the policy.
Failing to declare modifications is another common issue, with 14% of drivers admitting to it. Modifications like tinted windows or alloy wheels can change the value and risk profile of a vehicle, so they must be accurately declared to the insurer.
Honest Mistakes Can Also Be Problematic
It’s not just deliberate lies that pose a problem—many drivers are simply making honest mistakes. Among those who provided incorrect information by accident, a quarter didn’t realize the information was wrong, and the same number made a typing error. More than a fifth miscalculated their vehicle usage, while 20% forgot to update their personal details after moving or changing jobs.
The Consequences of Lying
If an insurer discovers inaccurate information, they have the legal right to cancel or void the policy entirely. Two-fifths of motorists who admitted to giving the wrong information have been caught, and of those, only a tiny seven percent said nothing happened as a result. Those caught face serious consequences, including legal action, further insurance problems, higher premiums, and no payout.
Driving without valid insurance is a serious offense that can result in fines of up to £300, six penalty points, and potential disqualification. Forty-four percent of people caught were given a fine, 33% received penalty points, and 17% were disqualified from driving.
Nearly a fifth of those caught were refused insurance in the future or found it harder to get covered. Fifteen percent had to pay higher premiums afterward, while 11% were forced to repay costs to the insurer.
Claire Wills-McKissick, a temporary car insurance expert at Tempcover, explains why honesty is crucial: “Insurers use your details—from your address to your driving history—to create a risk profile, and even a little white lie can break that trust and lead to a voided policy. This then leaves you without the safety net you thought you had, and without cover when you may need it most.”
She adds, “There are plenty of legitimate ways to cut the cost of your insurance without bending the truth. These include adding a named driver, improving your vehicle’s security by adding anti-theft devices, or securely parking it in a driveway or garage overnight.”
