A personal injury claim brought against a motorist insured by AXA UK has been dismissed by Croydon County Court, with the claimant ordered to pay £25,000 in damages and legal costs after the court found the case to be fundamentally dishonest.
Mohamed Riouj, 44, had sought £17,000 in damages, claiming that a collision in London in May 2018 left him unconscious and caused multiple injuries, including the loss of two teeth.
However, dashcam footage from a nearby bus, presented as part of AXA’s defence, showed that the insured vehicle was stationary at the time of the incident, contradicting Riouj’s version of events. The footage also indicated that he had not struck his head, as he had previously stated in his witness statement and medical evidence.
Medical records revealed that the claimed dental injuries had occurred weeks earlier in Morocco. During cross-examination, Riouj admitted that he had not been knocked unconscious, despite maintaining otherwise in his statement and medical records.
District Judge Bishop found the claim to be “fundamentally dishonest” and described parts of Riouj’s testimony as falsehoods. The court awarded AXA its full counterclaim, including the cost of defending the case, summarily assessed at £25,000.
The case highlights ongoing challenges within the UK insurance industry related to fraudulent claims, which cost the sector an estimated £1.2 billion annually. Fraudulent claims, which can include exaggerations of legitimate claims or entirely fabricated incidents, put significant financial strain on insurers and ultimately result in higher premiums for honest policyholders.
To combat fraud, insurers such as AXA increasingly rely on objective evidence like dashcam footage and telematics data to verify the details of claims.
“Insurance fraud is a serious crime which has significant consequences for fraudsters but sadly also results in higher insurance premiums for honest customers,” said Edward Frost, head of claims fraud strategy and intelligence at AXA UK.
Damian Rourke, partner at Clyde & Co, which represented AXA, added: “This case is a textbook example of why objective evidence like dashcam footage is vital in exposing exaggerated and dishonest claims.”
As fraud continues to impact the industry, the use of technology and collaboration between insurers and law enforcement remains critical in maintaining the integrity of the claims process and protecting policyholders from unnecessary cost increases.
