The people who commit insurance fraud are under the impression that the only one they are hurting is the insurance company; nothing can be farther from the truth. The perpetrators are not only costing the insurance company, they are also causing a ripple effect that can usually impact others around the community. Here a few ways in which insurance fraud can affect every individual, without even being involved:
Cost of Insurance
Insurance fraud is a growing concern in US; the number of insurance fraud cases in the country has been increasing every year. It has actually become a multi-billion dollar industry, with no signs of slowing down. As a result, insurance companies are raising the cost of premiums. The honest policy holders have to pay for the claims that are fraudulent; this is putting basic insurance coverage beyond the reach of average Americans.
Rise in Costs
The high premium costs affect people in two different ways; first the actual high premium costs that policy holders have to pay. Second, the insurance companies charge businesses more as well. These raised costs eventually filter down to the consumers as well. Businesses raise the costs of their products and services, which the consumers have to pay. So, once again insurance fraud can indirectly impact every individual.
Jeopardizing Peoples’ Lives and Property
People who commit insurance fraud often come up with dangerous and risky schemes to achieve their goals. These schemes can also endanger their coworkers, neighbors and the community at large.
· Staging auto accidents for insurance can put the lives of other drivers on the road at risk.
· Selling fake health insurance is another dangerous insurance fraud.
· Burning down a property, home or business, to collect the insurance money is a very serious and dangerous fraud. There is no way to control or predict the behavior of the fire; it has the potential to engulf whole neighborhoods.
· People often harm members of their family or business partners to claim their life insurance.
The information above clearly reveals the negative impact insurance fraud can have on every individual. It also shows the importance of a certified insurance fraud specialist, who can expose such individuals and protect the people. Firms like NSIU provide an excellent insurance fraud investigation service specially tailored for insurance professionals, so the community can be protected from fraudulent individuals.
National SIU (Special Investigation Unit) is a professional investigation firm that specializes in surveillance and other services specifically for risk managers and insurance professionals. The organization’s main goal is to provide their clients with effective evidence which can be used to uncover the truth.
For more information, please visit http://www.nsiu.com/Home