False claims lead to insurance hike
Fraudulent or exaggerated insurance claims in the Republic of Ireland have been blamed for a rise of more than 20% in the cost of premiums last year.
Figures from the Irish Insurance Federation (IIF) show a 23% increase in the cost of general insurance claims in 2008, with premiums expected to continue rising, according to the Irish Post.
And false claims have had another knock-on effect for honest customers, with many firms getting tougher on paying out in a bid to offset the money lost.
The data show average premiums for household insurance went up 26.6%, while health insurance rose 21% and motor insurance premiums increased by nearly 15%
This comes as the cost of general insurance claims rose 23% last year.
The IIF report said: "Household claim costs increased by 53%, and the number of new household claims increased by 29%.
"As a result, motor insurance premium rates, which had been falling continuously for the last four years, started rising again."