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Advisers and life offices targeted by bogus protection callers

Fraudsters posing as customers have been targeting advisers and protection providers in a scam to drive calls to a high-rate telephone number.

The fraud starts with advisers receiving a call from someone claiming to be interested in taking out a protection policy, requesting a call back to a ‘personal’ number beginning 070.

When the adviser returns the call, the fraudsters use delaying tactics to lengthen the call duration, including searching for misplaced documents and diverting the conversation away from the protection fact-find.

Industry sources say the perpetrators have even gone as far as submitting false applications for a life policy, leading to a further call back from the provider.

PruProtect was contacted several times by the bogus callers and has alerted other providers to the scam.

PruProtect head of account development Phil Jeynes says: “We were aware of this potentially fraudulent activity immediately, as our internal monitoring systems flagged the contact numbers as suspicious.

“Our fraud prevention team have shared this knowledge with colleagues around the industry who may have been targeted, as well as with our internal staff.”

Charges for the phone calls can be as high as 50p per minute, depending on the line used to make the call.

London & Country sales director Michael Aldridge says his firm has been contacted at least three times by the fraudulent callers.

He says: “Clearly we’d urge all intermediaries to be alert to this scam and put the appropriate checks in place – where appropriate it would be worth considering blocking calls to such numbers.”

LifeQuote sales and marketing director Neil McCarthy says: “There seems to be some fraudulent activity in the market targeting financial firms who operate with telephone call back facilities. We have received some cases with 070 telephone numbers – these look like non-geographic numbers but are in fact a variable premium rate phone line.

“There is a risk that a call to these numbers will be charged at an extortionate rate, as has been the case with an insurer partners of ours. It’s extremely positive to note that we are working closely with insurers and our partners, and steps have been taken internally to act appropriately with any suspicious numbers.”

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  1. Just a thought – could this be referred to BT/Ofcom? A simple fix would be some kind of warning that this is a premium rate number at the start of the call when you dial back? Something like when you ring an 0800 number from a mobile which isn’t free?

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