Scam free money making guide for freshers: INSURENCE SCAM

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Friday, May 22, 2009

INSURENCE SCAM

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ABOUT INSURANCE SCAM.

This is one of the typical scam, which does not harm anyone and that the insured is claming what rightfully is their’s. Insurance related scams are not the popular as the Advance fee fraud, Online lottery winnings, Phishing etc..

But what insurance fraud and insurance scams lose out on numbers they make up for it by the sheer amount of money involved in each such scam and fraud. Insurance fraud is a fraud which can be correctly termed as-Fraud at a Premium. If a recent estimate is to be believed insurance fraud costs customers between $130 billion to $150 billion.

Insurance fraud basically involves a fake claim in order to gain financial benefits, but there is a flip side to insurance fraud wherein insurers (insurance companies) dupe their customers by denying what the customer is lawfully entitled to.Insurance fraud can be divided into two categories:1.Fraud involving a fake or deliberate vehicle accident, break-in, loss, injury etc.2.Employee compensation fraud, wherein employees mis-informing the employer about their health so that they are entitled to employee’s compensation- This is the most difficult of insurance fraud that can be detected.