There are two common misconceptions concerning insurance fraud, these being that there are no serious consequences, and that it doesn’t cause any serious harm. However, it is currently estimated that fraud costs the insurance industry around £1 billion per year and, as a result, it impacts honest customers and reduces the ability to deal with genuine claims.
Figures from the Association of British Insurers (ABI) revealed that 562,000 cases of insurance fraud were detected in 2017, with the number of dishonest insurance claims valued at £1.3 billion and a 6% rise in the value of fraudulent motor insurance claims (£775 million).
Motor insurance fraud is one of the most commonly seen fraud types, committed by both opportunists and sophisticated criminal gangs. Some of the most common methods include:
You can find out more about the types of insurance fraud on the City of London Police website.
Despite measures to tackle the matter, organisations are still struggling to detect insurance fraud. As well as having an effect on their customers, fraud can lead to large fines, impact profitability and have significant damage on an organisations reputation – including regulator relationships.
To help combat insurance fraud, organisations should look towards enhancing the intelligence capability of their analytical personnel. The cutting-edge Level 4 Diploma in Intelligence Operations, which represents the highest level of vocational training available for those working in this sector, could be a key tool for the insurance industry.
This qualification can also be utilised as part of the Apprenticeship Levy. A recent case study showed how local employer and global pioneer of telematics-based car insurance, insurethebox, embarked on a large-scale apprenticeship programme with Intelligencia Training aimed at developing personnel in counter fraud, intelligence, underwriting and various operational roles.
Developed in partnership with the Skills for Justice Sector Skills Council, this level of intelligence training was previously only available in military settings, however, the qualifications are now available to anyone working within a data analysis role.
About Intelligencia Training:
Intelligencia Training are intelligence analysis and cyber security specialists that operate within both the public and private sectors. They currently engage with an ever growing number of high profile public and private sector organisations and Government agencies delivering the innovative, engaging, nationally accredited qualifications.
Based at Suite A4, Chadwick House, Birchwood Park, Warrington, WA3 6AE, you can contact Intelligencia training on 03330 431 440, alternatively you can email firstname.lastname@example.org. For more information on the services they provide, please visit www.intelligenciatraining.com.