By Madeline Klein
As an auto insurance company, our whole purpose is to keep drivers and their vehicles protected from whatever mishaps or dangers they may encounter on the road—and that includes car insurance fraud. Any time someone tries to deceive an insurance company to get some extra money in their pocket, they hurt both the insurance company and every driver that insurance company insures.
At Say Insurance, we’re committed to our drivers and take insurance fraud very seriously. If you suspect you or someone else has been taken advantage of in an insurance fraud scheme, report it right away.
What is insurance fraud?
Insurance fraud is any act falsifying or exaggerating the facts or damages of any claim to an insurance company to obtain payment that is not otherwise owed. Here are some common types of insurance fraud:
- Staged auto or slip-and-fall accidents
- Faked or inflated auto, home, or business losses
- Intentional fires to burn any property
- Phony or inflated personal property losses
- Phony or inflated medical bills
- Phony or inflated repair bills
- Exaggerated injuries or misrepresenting the ability to work
- Questionable death or disability for Life Insurance
How does it affect me?
Insurance fraud is wrong, and it's a crime. It costs everyone, even our Say Insurance customers. Reports suggest 10 to 25 percent of all insurance claims involve some type of fraud. This costs Americans over $80 billion each year and leads to increased insurance premiums.
Long story short: Insurance fraudsters inflate the costs of claims. The more an insurance company has to pay out for claims, the more overall premium it has to charge to cover those claims.
To report suspected fraud:
At any time you can:
- Call (888) 804-4597
- Or fill out and submit this form
What information is needed?
When it comes to a fraud investigation, the more information you can provide, the better. We’ll ask for:
- Your name (You may remain anonymous, but it almost always helps us investigate if we can contact you again. We will keep your identity confidential.)
- Name of the person suspected of fraud and any contact information you know
- As much detail as possible regarding why you believe they are committing fraud
- Any information that will help us identify the auto claim (i.e. claim number)
- Your phone number or email address if you allow us to contact you
What happens after I report the suspected fraud?
Our Special Investigations Unit will fully investigate all reports of suspected insurance fraud. If you allow us, we may contact you for more information.
What is our special investigation unit?
Our Special Investigation Unit (SIU) helps us identify, investigate, deter, and defeat insurance fraud by:
- Investigating potential fraudulent activity. Our SIU closely examines suspicious claims for evidence of fraud.
- Cooperating with law enforcement when they pursue and prosecute fraudsters to help put them out of business.
- Educating our claim representatives to look for fraud indicators in claims. Our SIU keeps them up to date on the latest fraud schemes so they know to be on the lookout.
What happens if you’re suspected of fraud?
Because insurance fraud is a crime in every state, there can be consequences no matter where you are. In some instances, insurance fraud is even a federal crime.
Say is required to report all suspected fraud to the state fraud bureau in the Department of Insurance. Or, in some cases, we may also have to alert law enforcement authorities through the National Insurance Crime Bureau (NICB).
Once fraud is reported, it's often investigated by either the Department of Insurance or local and federal authorities. It’s one of those groups that will prosecute someone committing fraud if needed.
How can I protect myself and family?
If you are in an auto accident, be aware:
- Call the police and beware of anyone who is anxious to quickly leave.
- List names, addresses, license plate numbers, witness information, and anything else that might later be important.
- Take pictures of all vehicles and the accident scene—but only if you can do so safely.
- Record the number of occupants in each vehicle. Watch for large, older vehicles because fraudsters often crowd into these cars when they intend to stage an accident.
- Don’t tailgate—even if you are not in an accident, watch for people who brake for no apparent reason. Some fraudsters will do this to intentionally cause accidents.
Say Insurance is committed to fight fraud, and you can help. If you suspect any insurance fraud, please report it to us ASAP.
Posted August 15, 2018 in Insurance Know-How.