Similar to other industries, insurance sector is not been without pitfalls. The fraud rate was not as prevalent in the insurance industry as in other and this attributes to the high-impact trends inculcated by fraudsters today. Fraud results in negative effect, since it puts innocent people in danger by having to pay higher premiums. Despite several measures taken by the Government, the incidents of insurance frauds are not declining at any cost, which is making more difficult for the insurance fraud fighters in the nation.
There are many ways people are making fraudulent claims to deceive their insurers.
- Stolen Cars – Criminals use this insurance scam in two ways, either by selling all the car parts or simply hiding the vehicle and claiming it to be stolen by someone.
- Accidents – Here the value of the vehicle damaged is inflated and the cost of damage incurred is also inflated.
- Health Insurance – Many healthcare professionals are also getting increasingly involved in such tricks. They provide bills for treatments they had never performed and also increase the price of services provided by them.
- Faked Death – The next common insurance scam performed by criminals is filing an insurance policy for their own life and making their spouse or child as the only beneficiary.
- Staged Fires – Yet another common scam is setting up their homes in fire to enjoy the benefits of looting ransom amount from their insurers. Many insurance companies are spending thousands every year for staged home fires.
Quick adoption of predictive analytic system is crucial for insurance companies during such crucial decision making situations. And today many have begun conducting Background Verification to keep up with new fraud trends in the country.
Fourth Force get their professionals (former intelligence, investigation and law enforcement officials) discharged to settle down the disputes requested to them through their online portal by conducting physical field verification. This helped them to excel in several biggest economic crime investigations such as JMM scandals and Harshad Mehta. Having regional offices in all the states they undertake background check services for Bank security, Employment Verification, Insurance Claim investigation, Cab Driver Background Checks, Identity checks and Security verification throughout the country.