5/1/2008 11:11:00 AM
Carphone Warehouse in new insurance fraud fix
Carphone Warehouse customers who sign up to the retailer’s Lifeline insurance service have become targets for fraud, staff have told Mobile.
Customers paying £120 per year for the Lifeline insurance service are tempted with an offer of cheaper insurance by fraudsters posing as insurance sellers, who then take their money without return.
The offending callers pose either as Carphone or network insurance sellers, and usually offer an insurance deal for £70 per year.
It is thought fraudsters also obtain customers’ personal information by signing up to a contract themselves. When given the option of a telephone number, they choose the first on the list and, as the numbers are sequential, this potentially gives the fraudster access to thousands of numbers.
One staffer said: ‘The problem goes in cycles and has been going on for about two years now. It’s been particularly bad again recently and I even had a call myself.’
A Carphone spokesperson said: ‘It has come to our attention that companies operating out of Swansea may have contacted a small number of our customers.
‘These companies purport to sell insurance policies but are not connected to the insurance policies we provide. It is our experience that a lot of these policies are in fact false and may leave customers without genuine cover.
‘We take these matters very seriously and provide suitable warnings against these parties in the accompanying sales literature we provide.
‘We have also registered our concerns with Swansea Trading Standards and the Financial Services Authority, the industry regulator.
‘Any customer who may be concerned about a policy they have purchased from Carphone Warehouse can contact us and we will be happy to assist them.’