Fake Travel Insurance Scams via Phone Calls
How cold callers sell fraudulent travel insurance policies that have no real coverage, leaving travellers unprotected and out of pocket when they need to claim.
Part of: Fake Travel Insurance
Last reviewed: 9 June 2026
Travel insurance is typically purchased quickly, close to the booking date, and without extensive scrutiny of policy terms — making it an ideal target for phone-based fraud. A cold call or response to a price comparison enquiry connects the traveller with an agent who offers competitive rates and comprehensive-sounding coverage. Payment is taken, a policy document arrives, but the insurer behind the policy either does not exist or operates without authorisation.
Unlike general insurance scams, travel insurance fraud has immediate and serious consequences. A traveller who discovers at a hospital abroad, or upon cancelling for a medical reason, that their policy is worthless faces the full financial burden at the worst possible moment.
How this scam works on phone calls
The call presents a travel insurance quote that undercuts comparison site prices significantly. The agent describes cover in attractive terms and processes payment quickly over the phone. A policy document arrives by email that uses a real insurer's name — either spoofed or falsely claimed as underwriter — but contains policy terms so heavily restricted that almost no real-world claim would be covered.
Some fraudulent policies simply provide a fake policy number. When a claim is submitted, the claims line is unanswered, the company website disappears, and the traveller discovers the insurer does not exist. Others use registered shell companies that collect premiums but deny every claim on grounds of pre-existing conditions, exclusions, or administrative non-disclosure.
Common red flags
- Price significantly below any authorised insurer or comparison site
- Agent cannot confirm the insurer's Financial Conduct Authority (UK) or state insurance regulator authorisation
- Policy document contains the name of a well-known insurer but the agent cannot confirm it as the actual underwriter
- Coverage described verbally on the call conflicts with written exclusions in the policy document
- Payment taken over the phone with no option to pay through an online portal
- Agent is evasive when asked for the insurer's FCA reference number or regulatory registration
How to protect yourself
- Only purchase travel insurance from insurers listed on the FCA register (UK) or your state's insurance department (US)
- Read the policy exclusions carefully before paying — medical cover limits and pre-existing condition clauses are critical
- Never buy insurance from a cold call — use a reputable comparison site and verify the insurer independently
- Get confirmation of the underwriting insurer in writing before paying
- Keep a copy of your full policy document in a place accessible without internet access
How to report it
- Report to the FCA (UK) at fca.org.uk/report-scam or the FTC (US)
- Report to Action Fraud (UK) if money was taken for a fraudulent policy
- Inform your credit card issuer if you wish to dispute the charge
Frequently asked questions
How do I verify that a travel insurer is regulated?
In the UK, check the Financial Services Register at register.fca.org.uk. In the US, verify with your state's Department of Insurance. Legitimate insurers are listed and their authorised products are on record.
Is it safe to buy travel insurance over the phone?
It is safer if you initiate the call to a number you found through a reputable comparison site or the insurer's official website. Cold calls offering travel insurance should always be declined — call back using an independently verified number.