Bizarre Insurance Claims Increasing

A sharp increase in spurious or exaggerated public liability claims against local governments has led to increased costs for taxpayers and insurers.

An annual list of the silliest insurance claims made against local government authorities in Britain includes a shoplifter who sprained her ankle attempting to escape and a motorist who failed to see a roundabout in broad daylight.

The list from insurer Zurich Municipal reveals that local authorities have also faced suits from a sanitation worker "startled" by a dead badger falling out of a bag he was picking up and a man who claimed to have soiled his trousers after a public convenience at a bus station was closed.

One man tried to sue the Archbishop of Canterbury, and a number of local authorities on behalf of "all the homeless people in Britain".

Also mentioned was a man who claimed to have injured his arm after slipping on steps owned by a housing association. In fact, he had jumped out of his window to avoid being caught with another woman when his girlfriend returned home unexpectedly.

Zurich Municipal claims director commented: "Whether a claim is exaggerated or completely fraudulent, it is the genuine claimant that suffers… We are constantly amazed at some of the excuses people use to try to claim against public bodies. It just goes to show that working in insurance is more interesting than people may think."

He said: "We work on behalf of customers to ensure genuine claimants receive the service they deserve, but considerable time is often wasted dealing with what turn out to be spurious, and even imaginative claims."

The insurer estimates that spurious public liability claims, which are becoming more common, cost local government and insurance companies as much as £250 million a year and many hours work.

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