The Ohio Department of Insurance is tracking a record number of complaints about insurance fraud this year. Officials say they suspect part of the increase can be attributed to people struggling to pay their bills during tough economic times.
Michelle Brugh Rafeld, Asst. Dir. of the Office of Fraud, Enforcement & Licensing, says people are getting desperate. "False break-ins to a home, alleged car thefts that never took place, lots of slip and fall accidents in retail establishments - anything that they can do to get a small claim in just to get money back so they can then turn to use it for other bills," Rafeld said.
The F-B-I estimates non-medical insurance fraud costs $40 billion annually which translates into premium increases of between $400 and $700 per year for the average U.S. family.
Frank Scafidi, spokesman for the National Insurance Crime Bureau says insurance fraud is a crime that?s easy to commit and difficult to prosecute. "Even if you know the person has committed a crime, there's a whole lot of daylight between an allegation of fraud and a prosecutable case," Scafidi said.
But Rafeld says those tempted to falsify or exaggerate an insurance claim should think again. "It?s not as easy as people think once they get into the claim process,? Rafeld said. ?I think the perception is a little off. They might see it as a quick hit but really the insurance carriers do a fantastic job of pinpointing red flags and taking action on those."
Ohio Department of Insurance statistics show a steady increase in the number of fraud allegations climbing from 2205 in 2008 to 3216 in 2010 to 4022 so far in 2012.
For additional information, stay with NBC4 and refresh nbc4i.com.
To submit a story idea or news tip, e-mail stories@nbc4i.com.
MORE: NBC4 Local News | Local Crime News
NBC4 SPORTS: Sports News, Video
NBC4 POLITICS: Headlines, Interactives & Video
Source: http://www2.nbc4i.com/news/2012/dec/10/2/complaints-insurance-fraud-increasing-ar-1271394/
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.