Overview
The costs of insurance fraud are a threat to the insurance industry’s financial stability and, therefore, a threat to the public. Many organizations, including insurers, law enforcement agencies, regulators, and legislators, have launched efforts to combat insurance fraud using various methods including training.
Staged car accidents, workers’ compensation medical bills, and massive fraud rings involving millions of dollars and sometimes hundreds of participants including drivers, patients, doctors, lawyers, and police officers—these things grab our attention. This is insurance fraud.
Insurance fraud is a major problem. It is estimated that fraud accounts for about 30-40 percent of the money that insurers pay for general insurance claims.
Learning Outcomes
After completing this lesson, you will be able to:
- List the most important property and casualty insurance products
- Describe personal automobile insurance
- Explain how some of the most common automobile insurance fraud schemes work
- Explain how some of the most common automobile insurance fraud red flags
- Describe workers’ compensation insurance
- Describe claim fraud and premium (application) fraud in workers’ compensation insurance
- Identify some of the tools property/casualty insurers use to fight fraud
- Discuss some of the legal and investigative issues
Course Outline
- 1.1: Learning Outcomes
