Former insurance broker Gary Whipps, 32, has been sentenced to two years in prison after being found guilty of fraudulently pocketing £46,125 from his clients. Whipps, residing at Church Road, Thundersley, manipulated contract documents of 26 clients between January 2018 and December 2020, increasing the insurance premiums and retaining the surplus for personal gain.
Whipps, who sourced insurance for amusement parks and companies offering inflatable play equipment rentals, pleaded guilty to 39 counts of fraud by false representation at Chelmsford Crown Court on March 8, 2024. The sentencing, delivered on June 5, 2024, follows an investigation by the City of London Police’s Insurance Fraud Enforcement Department (IFED). Confiscation proceedings are scheduled for December this year to reclaim the total loss incurred.
Detective Constable Surinder Ram of IFED condemned Whipps’ actions, emphasizing the breach of trust and disregard for clients’ welfare. Ram highlighted the financial and reputational risks Whipps exposed his clients to, noting that some were left uninsured despite believing they had adequate coverage.
Whipps, employed by an insurance broker since 2016, manipulated contract documents provided by a wholesale broker, misrepresenting policy terms to clients. Suspicion arose when a bouncy castle hire company in Ireland, sold a policy by Whipps, discovered inaccuracies in its coverage. Investigation revealed Whipps had tampered with 38 other policies, inflating premiums ranging from £100 to £27,286.
One case highlighted the dire consequences of Whipps’ deceit, as an amusement park owner in Wales paid £44,800 for a policy that, when needed, failed to provide expected coverage for business interruption due to Covid-19 restrictions. Whipps, avoiding communication attempts, misled the client, leaving him to cover losses totaling £235,000.
Whipps’ fraudulent activities came to light in June, prompting his suspension and subsequent referral to IFED by the wholesale broker. Financial investigators traced funds from affected clients to Whipps’ bank account, leading to his arrest on November 3.
Jon Radford, Head of Intelligence, Investigations & Data Services at the Insurance Fraud Bureau (IFB), condemned Whipps’ breach of professional standards, emphasizing the severity of the consequences for his victims. Radford expressed satisfaction with the investigation’s outcome and praised IFED’s efforts in bringing Whipps to justice.
During police interrogation, Whipps declined to answer any questions, maintaining a stance of “no comment.”
