Aviva calls for greater online fraud crackdown

Insurance giant Aviva is urging social media platforms and regulators to implement a more coordinated approach to tackle scams, particularly ghost broking. The company has reported an eight-fold increase in its requests to take down websites associated with ghost broking between 2025 and the current period in 2026. Ghost broking involves criminals selling fake or invalid insurance policies, often preying on young drivers who may be less experienced and face higher premiums.

Victims of ghost broking typically discover they have been defrauded only when they attempt to make a claim. Criminals achieve artificially low prices by altering policy details. Aviva stated that the speed at which fraudulent content remains online directly correlates with the extent of harm caused to consumers. The insurer is advocating for faster removal of such content.

Proposals for stronger regulation

Aviva is encouraging Ofcom to use its ongoing consultation on fraudulent advertising codes of practice as an opportunity to reinforce rules governing online advertisements. The insurer also proposes mandatory verification for financial services advertisers. This would ensure that account activity aligns with authorisations from the Financial Conduct Authority, confirming a provider's legitimacy and authority to sell or promote financial products.

Owen Morris, CEO personal lines at Aviva, highlighted that technology is amplifying the threat of fraud. He believes two key actions are necessary: Ofcom proceeding with its proposals to identify and remove fraudulent content before it causes harm, and the formation of a new coalition. This coalition would unite financial institutions, platforms, consumer groups, regulators, and law enforcement to share real-time intelligence and discuss emerging trends.

Morris emphasised the critical role of social media platforms in these efforts, encouraging them to collaborate with the insurance industry on intelligence sharing and cooperation. He also suggested that platforms should contribute more significantly to enforcement activities and victim support.

Ofcom's role in tackling online scams

Ofcom published proposals in July aimed at combating paid-for scam advertisements online. The regulator estimates that UK victims lose over £200 million annually to online scams. Their consultation, which seeks feedback on these proposals, is expected to lead to final decisions being published next year. Ofcom's online safety group director, Oliver Griffiths, stated that technology giants have not done enough to combat fraudsters operating on their platforms.

Griffiths indicated that Ofcom has outlined nearly 40 practical measures for companies to adopt. He expects firms to take decisive action against scam advertisements and remove malicious actors to protect users. He warned that platforms failing to meet their legal obligations once they are in force could face serious repercussions.