Organised crime gangs, fraud and the Insurance industry
Recent studies have discovered that organised crime gangs are the biggest fraud contributor facing insurance companies.
Results from the studies have shown that 52% of fraudulent claims come from organised crime gangs who turn fraud into a business. Using a number of parties in an attempt to cover their tracks, these gangs claim from insurance companies hoping for big payouts that can be spread amongst their members. The second highest contributor is exaggerated claims at 35% where parties claim for more than they are owed hoping for a bigger payout. 12% is the final figure for opportunistic fraudsters hoping to con the insurance companies.
On a positive note more than two thirds of the companies that took part in the studies believed that the insurance industry is better at fighting fraud than it was two years ago.
Figures taken from Insurance Times
15.10.13 - MCE Insurance