Free content for your website or blog

ON GUARD - Fraud spotter 30 - Insurance (pt. 1)

Use the tools below to copy the article in plain text form, or you can copy it as HTML, ready to copy and paste directly into a web page.

HTML
<html> <head> <title>ON GUARD - Fraud spotter 30 - Insurance (pt. 1)</title> </head> <body> <h1>ON GUARD - Fraud spotter 30 - Insurance (pt. 1)</h1> <div class="info">Author: <a href="author_1_.html">lgdx1 </a></div><div class="body">ON GUARD û Fraud Spotter #30 - Insurance Fraud - Pt. 1 By Laura Quarantiello ® 2004 Tiare Publications Group 723words Take a close look at the next bill you receive from your insurance company. How much is protection of self, home, and property costing you? Perhaps more than you planned and maybe more than you need or can afford. Experts say that the steadily escalating numbers on your premiums are primarily caused by widespread and growing insurance fraud, which costs the industry tens of billions of dollars each year. Fighting fraud within the system is extremely difficult, simply because it so often goes undetected or unreported. Hard fraud, which are attempts to secure payments through staged or non-existent accidents, injuries, theft and arson, are being committed by unscrupulous professionals within the ranks of physicians and attorneys. These people are experts at manipulating paperwork, which ends up bamboozling insurance companies into paying out for false claims. Fraud against the industry is nearly equaled by fraud committed by the insurance providers themselves. Huckstering agents often defraud their clients, convincing them to buy policies they don't need, delaying payments or refusing to pay claims. The very word "insurance" implies a permanent and lasting trust. When we sign up for health, life or automobile insurance we are placing our trust in the company we have retained, counting on them being there when we need them. If and when that hour comes we may be devastated to learn that our insurance agent is nothing more than a shyster and the company he works for won't back us up or help us out. The Coalition Against Insurance Fraud is lobbying for legislative and industry reform to help curb the problem, but education and awareness are the only real ways to combat this type of fraud. Phony Accident Rings Staged auto accidents, also known as swoop-and-squats or zoom-and- squats, are becoming more commonplace. Though the methods vary, the outcome is the same. A battered vehicle swerves in and out of a large truck's lane, barely avoiding a collision. Eventually the truck strikes the car. But this isn't some reckless or intoxicated driver. This is a staged auto accident, designed to obtain insurance money. It's a carefully planned, down and dirty form of insurance fraud. Investigators report that there are often three tiers to such organized crime rings. The top tier is composed of unscrupulous professionals such as physicians or attorneys, who are more than willing to diagnose injuries, even if they don't exist, or file fraudulent claims. The second level is made up of "cappers" - just like the shills of street con fame - who do the grunt work of finding expendable cars and doling out the resulting claims to the top tier pros. The last tier includes the people hired to drive the cars and put their lives on the line in exchange for money. The con itself is simple, if potentially deadly. The entire cover story is concocted and arranged before anyone takes to the streets. Bottom tier participants then drive out in search of a suitable, well-insured target. Once a good target has been singled out, the squat car goes to work, pulling in front of the target for a little game of cat and mouse. The goal is to get the target vehicle to impact the squat car. And it does, often spectacularly. Once the collision has taken place, victims howl about injuries and are treated for the most dubious kind: whiplash, sprains and other problems that defy easy diagnostic confirmation. Insurance claims are then filed, with the largest amount of cash ending up in the pockets of the lawyers and doctors. The dishonest souls actually involved in the staged accident end up with a few thousand dollars and those who set the whole thing up also walk away with a substantial share of the cash. There are always people willing to do a little dangerous driving in exchange for money. To insurance companies it means billion dollar losses each year. Cousins of these accident rings are "floppers" and "divers;" scammers who pretend to be hit by automobiles in order to collect insurance. These scams work best when the vehicle is turning a corner or moving away from a stop sign. The con artist simply steps off the curb and bounces off the fender or door. Part actor and part stuntman, the con artist always gives a great performance and the insurance company usually pays off. (End) Laura Quarantiello hates criminals and the crimes they commit. Her book "On Guard" can help you minimize the risk you family faces from criminal elements. Get more information at: www.tiare.com/onguard.htm </div> <div class="source">Article Source: <a href="http://www.articlealley.com/article_30335_19.html">http://www.articlealley.com/article_30335_19.html</a></div> <div class="author"> <div class="authorBio"></div> </author> </body> </html>

Text
ON GUARD - Fraud spotter 30 - Insurance (pt. 1) Author: lgdx1 ON GUARD û Fraud Spotter #30 - Insurance Fraud - Pt. 1 By Laura Quarantiello ® 2004 Tiare Publications Group 723words Take a close look at the next bill you receive from your insurance company. How much is protection of self, home, and property costing you? Perhaps more than you planned and maybe more than you need or can afford. Experts say that the steadily escalating numbers on your premiums are primarily caused by widespread and growing insurance fraud, which costs the industry tens of billions of dollars each year. Fighting fraud within the system is extremely difficult, simply because it so often goes undetected or unreported. Hard fraud, which are attempts to secure payments through staged or non-existent accidents, injuries, theft and arson, are being committed by unscrupulous professionals within the ranks of physicians and attorneys. These people are experts at manipulating paperwork, which ends up bamboozling insurance companies into paying out for false claims. Fraud against the industry is nearly equaled by fraud committed by the insurance providers themselves. Huckstering agents often defraud their clients, convincing them to buy policies they don't need, delaying payments or refusing to pay claims. The very word "insurance" implies a permanent and lasting trust. When we sign up for health, life or automobile insurance we are placing our trust in the company we have retained, counting on them being there when we need them. If and when that hour comes we may be devastated to learn that our insurance agent is nothing more than a shyster and the company he works for won't back us up or help us out. The Coalition Against Insurance Fraud is lobbying for legislative and industry reform to help curb the problem, but education and awareness are the only real ways to combat this type of fraud. Phony Accident Rings Staged auto accidents, also known as swoop-and-squats or zoom-and- squats, are becoming more commonplace. Though the methods vary, the outcome is the same. A battered vehicle swerves in and out of a large truck's lane, barely avoiding a collision. Eventually the truck strikes the car. But this isn't some reckless or intoxicated driver. This is a staged auto accident, designed to obtain insurance money. It's a carefully planned, down and dirty form of insurance fraud. Investigators report that there are often three tiers to such organized crime rings. The top tier is composed of unscrupulous professionals such as physicians or attorneys, who are more than willing to diagnose injuries, even if they don't exist, or file fraudulent claims. The second level is made up of "cappers" - just like the shills of street con fame - who do the grunt work of finding expendable cars and doling out the resulting claims to the top tier pros. The last tier includes the people hired to drive the cars and put their lives on the line in exchange for money. The con itself is simple, if potentially deadly. The entire cover story is concocted and arranged before anyone takes to the streets. Bottom tier participants then drive out in search of a suitable, well-insured target. Once a good target has been singled out, the squat car goes to work, pulling in front of the target for a little game of cat and mouse. The goal is to get the target vehicle to impact the squat car. And it does, often spectacularly. Once the collision has taken place, victims howl about injuries and are treated for the most dubious kind: whiplash, sprains and other problems that defy easy diagnostic confirmation. Insurance claims are then filed, with the largest amount of cash ending up in the pockets of the lawyers and doctors. The dishonest souls actually involved in the staged accident end up with a few thousand dollars and those who set the whole thing up also walk away with a substantial share of the cash. There are always people willing to do a little dangerous driving in exchange for money. To insurance companies it means billion dollar losses each year. Cousins of these accident rings are "floppers" and "divers;" scammers who pretend to be hit by automobiles in order to collect insurance. These scams work best when the vehicle is turning a corner or moving away from a stop sign. The con artist simply steps off the curb and bounces off the fender or door. Part actor and part stuntman, the con artist always gives a great performance and the insurance company usually pays off. (End) Laura Quarantiello hates criminals and the crimes they commit. Her book "On Guard" can help you minimize the risk you family faces from criminal elements. Get more information at: www.tiare.com/onguard.htm Article Source: http://www.articlealley.com/article_30335_19.html About the Author:

Article Title:
Article Keywords:

return to article

Need Help?
Submit Articles
Write for Us
FAQ
Video

Site Info
Site Map
Privacy Policy
Categories
E-Book
Free Articles

Webmasters
Partner with Us
Widget
Guidelines

Business Info
Advertising
Squidoo & Hubpages
Archived articles