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Bogus insurance warning

7th July 1988, Page 4
7th July 1988
Page 4
Page 4, 7th July 1988 — Bogus insurance warning
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Which of the following most accurately describes the problem?

• Hauliers have been warned against a "hire and reward" insurance company selling bogus insurance policies despite warnings from the Department of Trade and Industry.

The DTI was first alerted about the firm, BCS (Management and Administration) of 56, Stoke Newington High Street, London after it received complaints from clients and other insurance companies in June this year.

The DTI says: "One taxi driver rung up the department just because BCS had offered him insurance for considerably less than the normal rate. It was so low he was automatically suspicious."

The DTI proceeded to warn clients, the media, and even BCS itself, that the insurance policies were invalid.

The insurance firm, however, just changed its name from BCS (Management and Administration) to BCS (Hire and Reward) and continued trading.

The DTI warns that insurance policies issued under any BCS name are invalid and should be replaced.