“That which does not kill us makes us stronger.” ― Friedrich Nietzsche

An estimated $80 billion is paid out every year in fraudulent insurance claims. Insurance fraud is a type of fraud that seeks benefit or compensation from false or embellished claims to insurance companies. There are several types of insurance and thus several types of insurance fraud to be on the lookout for. A few examples include staging car accidents, filing health insurance claims for services not provided or filing damage claims to home insurance for damage that hasn’t occurred, just to name a few.

Types of Insurance Fraud

Different types of insurance can experience different types of fraud. Here are the major types of insurance fraud and some examples of fraud specific to those insurance types.

Life Insurance Fraud – Life insurance is typically insurance paid out upon someone’s death to one or more beneficiaries. Claiming too much life insurance or entering a claim against life insurance for a person who is not deceased are just two examples of life insurance fraud.

Workers Compensation Insurance Fraud – Workers compensation handles expenses for injuries that occur while a person is at work or “on the job”. Some examples of this kind of insurance fraud include faking an injury, embellishing the severity of an injury or filing for workers compensation insurance for an injury that did not happen while working.

Car Insurance Fraud – Car insurance covers accidents that happen while driving a vehicle and other incidents that impact a vehicle such as theft and damage. A few examples of car insurance fraud include staging an accident in order to collect an insurance payment or reporting a car as stolen to collect insurance when the car has not actually been stolen.

Home Insurance Fraud – Home insurance covers damage to your home due to certain types of disasters, plumbing failures or injuries that happen on your property. Filing false or embellished claims of damage to a home, filing disaster claims when not impacted by the disaster and filing false injury claims are all forms of home insurance fraud.

Health Insurance Fraud – Health insurance covers your medical care costs. A few examples of health insurance fraud include billing for services not provided, filing for reimbursement for services never provided or filing claims for tests or services that are not needed, excessive or not valid.

If you have been accused of insurance fraud, a PI can help you clear your name. If you have been a victim of insurance fraud, a PI can gather information and evidence to help you prove your case in a court of law. If you have questions or concerns about insurance fraud, call Bulldog PI today. We’ll help you get the answers you deserve.