Menu

Approach to Insurance Fraud Risk of Being Caught Ever Bigger

0 Comment


In 2014, insurers were able to save 99 million euros by successfully tackling insurance fraud. The fraud approach was 10% higher than in 2013. In 2014, insurers were able to save 99 million euros by successfully tackling insurance fraud. The fraud approach was 10 percent higher than in 2013, according to new figures from the Center for Combating Insurance Crime (CBV). Striking detail, insurers had to carry out fewer investigations.

 

20,000 Investigations into insurance fraud

insurance fraud

Non-life and life insurers launched 20,000 insurance fraud investigations last year. The number of investigations in 2014 was 15 percent lower than in 2013. The number of successful investigations for which insurance fraud was found, on the other hand, increased. From this it can be concluded that insurers are increasingly effective in recognizing incidents that are worth investigating. In 38 percent of the investigations (7,762 cases), insurance fraud was found. In most cases it is fraud when claiming, for example claiming damage due to theft even though nothing has been stolen.

 

What is the Center for Combating Insurance Crime?

The Center for Combating Insurance Crime (CBV) is part of the Dutch Association of Insurers. The center supports insurers in tackling fraud and other forms of insurance crime. This includes policy development together with public partners to provide operational services to individual insurance companies. Both the CBV and insurers do not sit still when it comes to tackling insurance criminals.

 

Facts CBV 2014 tackling fraud and insurance crime

Facts CBV 2014 tackling fraud and insurance crime

  • 20,645 integrity and safety tests (CBV tests) were performed for insurers
    – 6 times a month there is a hit with relevant information for testing companies
    – 2,751 information requests from insurers were handled
    – An information request was made 479 times by the police and the judicial authorities
    – Compared to 2012, there were 3 times as many incident reports about sickness insurance by insurers
    – The realization that tackling insurance fraud with absenteeism can result in large savings
    – Five insurers, supported by the CBV, achieved success in tackling income insurance fraud

 

Tackling insurance fraud – Chances of getting bigger

Thanks to the successful approach to insurance fraud, insurers managed to save almost 99 million euros, which amounts to around 270,000 euros a day. Insurers recovered the money by, for example, reclaiming amounts paid out or not paying compensation. A third of the persons with whom insurance fraud was found is included in the national insurance system for insurers. On the basis of this warning system, other insurers know who has been reported as a fraud.

 

Tackling insurance fraud in the interest of insurers and policyholders

Tackling insurance fraud - Chances of getting bigger

The effective approach to insurance fraud is not only beneficial for insurers, but also for insured parties. Because the less paid on the basis of fraudulent action, the lower the claim burden. This ultimately determines the insurance premium that the insured must pay. The CBV continues to work on an effective fraud approach together with insurers, the National Police and the Public Prosecution Service.

Leave a Reply

Your email address will not be published. Required fields are marked *