The 'crash for cash' scam sees fraudsters slam on their brakes in congested areas so the car behind drives into the back of them, then claiming compensation.
The IFB said fraudsters have been operating this scheme regularly in areas such as Birmingham, Blackburn, Bradford, London, Luton, Manchester and Romford.
However, it has now seen evidence that fraudsters have targeted 10 new areas in the last year. They are Frome, Worksop, Cirencester, Milton Keynes, Nottingham, Shrewsbury, Warrington, Leicester, Ashby, and Derby.
The IFB said 'crash for cash' gangs are also starting to target small villages.
Ben Fletcher, director at the IFB, said: "Crash for cash fraudsters are known to evolve their tactics and the latest evidence shows that they've started spreading out from prominent crime hotspots to less suspecting towns and cities in the hope that they can avoid detection. This change in tactic brings home the fact that no matter where people may live, everyone should be on their guard to these reckless car crash scams.
"To help us stop cases from rising and bring these fraudsters to justice, we urge drivers to look out for signs of crash for cash scams and to report any evidence of it to us straight away."