FCA warns young drivers about fake car insurance

The FCA is warning young drivers against buying car insurance through social media and messaging apps. It says about half of young drivers have bought cover this way, but many are not confident they would spot a scam. As a result, “ghost broking” scams can leave drivers uninsured, either because they are entirely fake, or because they falsify details to bring prices down or get cancelled soon after purchase.

The FCA is urging everyone to check the firm in question is authorised, and that genuine sellers should have a website, phone number and address, and not just a social media presence.