The City of London Police’s Insurance Fraud Enforcement Department (IFED) has completed a week-long operation aimed at individuals suspected of submitting false claims on insurance policies.
The activity, carried out ahead of Black Friday, centred on claims for damaged mobile phones, televisions, and laptops that were allegedly used to secure payouts for newer devices.
Detective Inspector Simon Klust of IFED said the operation reflects the unit’s continued focus on insurance fraud during major retail periods.
“Fraudulent claims not only harm insurers, but also drive up costs for honest policyholders,” said Klust, adding that collaboration with industry partners supports efforts to limit the impact on consumers and “disrupt” related activity.
Over the course of the week, IFED issued 17 cease-and-desist notices to individuals across the UK. Officers also executed a separate warrant during the same period, seizing about £15,000 in cash linked to suspected fraudulent claims. One individual connected to the activity remains under investigation.
Broader industry data indicates that fraudulent behaviour continues to place considerable strain on insurers. A 2025 survey found that 90% of insurers estimate fraud accounts for roughly 2.6% of annual revenue loss, with some reporting levels closer to 5%. The same research placed the average fraudulent claim at £84,000.
The warrant issued during the operation forms part of an investigation into several household claims filed between late 2024 and early 2025. Investigators believe the claims were fabricated and involved repeated reports of damaged laptops and similar items. IFED said the suspect may have created the policies, established the companies involved, and submitted the claims.
According to IFED, the claims under investigation appeared to be timed shortly after policies were purchased, with average values between £3,000 and £5,000. The department said this suggests an attempt to exploit insurers by securing payouts soon after cover began.
The sector has begun responding through broader coordinated measures. The Insurance Fraud Bureau (IFB) recently launched Connected to Protect, a five-year plan aimed at improving data sharing and building a unified technology platform to help insurers and law enforcement identify patterns of emerging fraud more quickly.
The roadmap also calls for greater public engagement, which aligns with IFED’s parallel use of targeted advertising to raise awareness during its recent operation.
Alongside enforcement work, IFED ran a targeted advertising campaign on Meta and Google platforms. The initiative sought to inform consumers about gadget insurance fraud and direct them to further guidance and support.
