Axa anticipates Christmas fraud hike

According to AXA Car Insurance, December brings a 40% rise in claims - in particular from fires and vehicle thefts. Unfortunately, as the number of claims rises, so does instances of fraud.

Steve Gaywood, head of counter fraud at AXA, said: "Christmas is expensive and it is sad to see the desperate measures people will go to for a bit of extra cash but insurance fraud is really not the answer."

Axa's research also found that 44% adults living in the UK expected to be in debt after this year's Christmas.

The Fraud Advisory Panel highlights that fraud costs insurers £2 billion each year - a cost which is passed on to motorists with on average a £44 premium hike.