The Most Common Pandemic Insurance Fraud Schemes
Insurance fraud isn’t the most splashy form of crime and it rarely dominates the news cycle. But it does impact your wallet every day.
These numbers might catch your attention: Insurance fraud (non-health insurance) is a $40 billion dollar a year criminal enterprise that costs the average U.S. family between $400 and $700 per year in increased insurance premiums, according to the FBI.
About 75% of insurance industry professionals believe that 10% or more or all insurance claims have some element of fraud, according to the 2020 Friss Insurance Fraud Report, a company that provides fraud and risk detection software to insurance companies.
And some industry professionals believe the number of claims with some element of fraud has nearly doubled since the COVID-19 pandemic.