Working the Numbers to Detect Fraudulent Claims

Firms that provide workers’ compensation insurance need to be on the lookout for fraud in a variety of areas, such as employees filing for fake or exaggerated injuries and employers filing incorrect worker codes to save money on premiums. Increasingly, insurers are turning to a variety of technology solutions to detect and stop fraudulent claims, which typically fall into three main categories, says Karlyn Carnahan, principal at Novarica, a New York-based consulting firm.