Record numbers of young drivers are being duped into buying fake insurance online.
‘Ghost broking’ scams on Instagram and other websites have soared in the past three years.
Victims lose hundreds of pounds and can end up driving without cover.
Adverts offer insurance for as little as £100 a year on social media sites, student websites or money-saving forums.
Fraudsters falsify drivers’ names to bring the price down or take out a genuine policy before cancelling and claiming the refund plus the victim’s cash.
The Insurance Fraud Bureau is handing over 70 investigations – up from 11 new cases in 2015.
Its head of intelligence Stephen Dalton said: “Young drivers, with higher premiums, are often the target. More than a third of young people we surveyed said they’ve seen a suspicious ad for insurance on social media.”
One ghost broker, Abdul Hakim, 27, of Oldham, Greater Manchester, was jailed for three years at Bradford Crown Court in April for duping 21 people. Drivers are warned to beware if a seller only provides a mobile number or email.
Brokers can be checked out on websites register.fca.org.uk and biba.org.uk .