A man in Cardiff has been sentenced to four months in prison for attempting to defraud an insurer for injury claims from a road accident he was not involved in.
Michael Falkingham said that he was a passenger in a car involved in a collision with a Cardiff Council van in 2014 and attempted to collect an injury claim from insurer Zurich, which covered the council’s vehicle. However, it was found that Falkingham was not present during the incident and that the only people in the car when the collision took place were the driver, her son, and her granddaughter.
Although Falkingham withdrew his claim in the initial stages, specialist law firm Horwich Farrelly argued in court that there were grounds for contempt of court. The firm recorded a series of phone calls with Falkingham in which he admitted that it was both a “dodgy claim” and a “cash for crash” claim. Zurich served proceedings based on this evidence and, following a two-day trial, the court found Falkingham guilty of contempt. Based on his early admission of guilt, the court handed down a four-month prison sentence, which was suspended for 18 months.
“It was right and proper that the court took a hard line against Mr Falkingham, despite him withdrawing his fraudulent claim and only ever submitting a Claims Notification Form,” said Ronan McCann, managing partner of Horwich Farrelly. “This sends a strong message that insurers will not tolerate individuals seeking to defraud them and publicly funded bodies, even in circumstances where a fraudulent claim is submitted but not actively pursued.
“The vast majority of claims we receive are legitimate, and we pay them promptly,” said Scott Clayton, head of claims at Zurich. “However, we have a duty to detect bogus or exaggerated claims which drive up premiums for honest customers. This case sends a clear message that dishonest claimants – even those who bring a fraudulent claim and then don’t follow through by issuing proceedings – still face the toughest of penalties.”
