Faltering economy brings rise in suspicious claims

MIAMI - JULY 17: A member of the Miami-Dade p...Image by Getty Images via Daylife

According to an industry source, the souring economy has brought a rise in suspicious claims. The National Insurance Crime Bureau said 41,619 suspicious claims were reported to the organization by member insurance companies, who reported claims based on property, casualty, commercial and vehicle policies. As has often happened in the past, when income goes south, questionable/suspicious claims increase. A word to the wise, insurance companies are aggresively investigating any and all claims that pop up on their radar. Worth remembering that a dip in income overall also leads to a dip in income for insurance companies. In order for them to preserve sufficient surplus to pay out on valid claims they tend to keep a sharper eye out for fraudulent activity during economic downturns.
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