Ecclesiastical Saves £3m Through Fraud Prevention as Claims Investigations Surge

Specialist insurer Ecclesiastical has reported significant success in combating fraudulent insurance claims, saving more than £3 million through targeted investigations during 2025. The company’s claims team examined over 280 suspected fraudulent cases last year, marking a substantial 20% increase compared to 2024.

The insurer’s fraud detection capabilities have shown notable improvement, with the detection rate climbing by 5.5 percentage points from 8.3% to 13.8% year-on-year. Ecclesiastical attributes this enhanced performance to its strategic investments in staff training and professional development programs.

Casualty claims represented the largest portion of fraud-related savings, accounting for more than £2 million of the total – a 30% increase compared to the previous year. Approximately half of all detected casualty fraud involved slip and trip claims, where claimants presented false injury narratives that were subsequently disproven through investigation.

This fraud prevention success comes amid growing industry-wide concerns about insurance fraud across the UK market. According to figures from the Association of British Insurers (ABI), insurers across the country uncovered £1.16 billion in dishonest claims during 2024. More worryingly, the trade body estimates a similar value of fraudulent claims may remain undetected, highlighting the increasing sophistication of fraud techniques being employed.

Jeremy Trott, claims director at Ecclesiastical Insurance, emphasized the scale of the problem: “Insurance fraud continues to cost insurers and customers billions of pounds each year. With the UK continuing to experience economic volatility, businesses and households are already under difficult financial pressure, but we are committed to tackling fraud in the strongest means possible.”

Several notable cases illustrate the company’s approach to fraud detection. In one instance, a personal injury claim alleging concussion from walking into a stalactite at a customer’s premises was withdrawn after investigators questioned how the supposedly injured person had managed to exit via a lengthy route and drive themselves to hospital.

Another case involved a reported burglary of designer clothing that was rejected when retailers confirmed the items had been cancelled and fully refunded long before the alleged break-in occurred.

The claims team has also identified an emerging trend of collusion between fraudulent claimants and contractors. This includes manipulated estimates featuring near-identical quotes from supposedly independent sources, undisclosed relationships between parties that were uncovered through online links and social media investigations, and various forms of invoice fraud involving inflated or completely fabricated bills.

Insurance fraud represents a significant challenge for the industry, with costs ultimately being passed on to honest policyholders through higher premiums. Specialized insurers like Ecclesiastical, which focuses on sectors including heritage, education, faith, and charity organizations, face particular challenges as fraudsters may target what they perceive as less commercially savvy entities.

Trott reinforced the company’s commitment to fighting fraud: “By investing time, money and effort into pursuing false claims, we can continue to strengthen our defenses, support our customers and deter would-be fraudsters.”

Industry experts suggest that economic pressures often correlate with increases in opportunistic fraud, as individuals and businesses face financial strain. The 20% increase in investigated cases may reflect both improved detection capabilities and a potential rise in fraudulent attempts amid ongoing economic challenges in the UK.

For insurers across all sectors, balancing efficient claims processing for legitimate customers while maintaining robust fraud detection systems remains a critical operational challenge as fraud techniques continue to evolve.