5 Top Frauds Made In Insurance Investigations
Always wanted to know more about insurance investigations…?
Steady cash flow is an important economic resource that is very attractive but easily deflected. Insurance is a risk distribution system that requires the accumulation of liquid assets in the form of reserve funds that are, in turn, available to pay loss claims.
Here are the 5 top frauds made in insurance investigations:
Settlement Checks
An employee can easily create check defalcation by changing the dress of record prior to the settlement check issue date. Thus, misdirecting the check in question.
Also, an orphan contract holder is a policyholder or contract holder who has not been assigned to a servicing agent or the whereabouts of this individual is unknown. The servicing agent attempts to locate this family group and could influence them to purchase additional insurance.
Misrepresentation
If a sales representative makes a false statement with the intent to deceive the insured in order to obtain an unlawful gain, misrepresentation might occur.
Phantom Vehicles
Collecting On a phantom vehicle has been shown it is easy to do. Even though it is not absolute proof that a vehicle exists, it is the basis for the issuance of insurance policies. Collecting on a phantom vehicle has been shown to be easy to do.
Arson For Profit
Insured clients may act alone, with their agents or highly organized crime rings specialized in arson. Personal dwellings or commercial properties are destroyed by fire for the sole purpose of financial gain.
Fraudulent Death Claims
The person might be very much alive and missing or the person might be dead, and the death is past posted. With small settlements, death claims aren’t closely scrutinized and are paid relatively easily.To obtain reimbursement for life insurance, a death certificate is required. However, phony death certificates are not that difficult to obtain.
If you have questions or want to learn more about frauds made in insurance investigations, don’t hesitate to contact the team from Willo Security. They are a very well prepared team of insurance investigators and professionals with over 25 years of experience!
You can find them in Akron, Canton, Cincinnati, Cleveland, Columbus or OH.
