Insurance Fraud Investigation
Dealing with insurance claims and payments is not usually on the list of your favorite things, but they are essential to the protection of persons and assets. Insurance fraud is more common than people may realize because it can be as simple as lying about monetary value or as complex as making up a claim altogether. Insurance fraud can be committed by individuals, policyholders, or business professionals. Private Investigators can help prove that someone is falsifying claims to their insurance company and save the insurance company money.
Types Of Insurance Fraud
There are many ways that someone can commit insurance fraud, especially in our digitally connected world. No matter what type of insurance fraud has been committed, gathering concrete evidence will be important when the insurance company calls the individual out on insurance fraud.
Some common types of insurance fraud include:
- Falsified auto claims
- Exaggerated claims
- Claiming personal injury as workers’ comp
- High-value or complex claims (multiple areas of insurance)
- Falsified disability
There are also distinctions between soft fraud and hard fraud. Hard fraud involves intentional actions like staged auto accidents, arson, or faked death. Soft fraud is often seen as opportunistic fraud, like exaggerating the value of lost items or misrepresenting income. While soft fraud may seem less obvious, it is still illegal and can have severe consequences.
Suspicions Of Fraud
There will be signs when someone has committed insurance fraud. Similar to other lies or infidelity, our bodies will have physical reactions. Behavior and reactions could reflect when someone is guilty, but not always. One common sign of insurance fraud is what is known as layering. Getting money orders or cash withdrawals from multiple banks in order to make payments on an insurance policy. Making multiple large payments, or structuring, is another sign of insurance fraud. The threshold for companies to signal fraud is $10,000, so those committing fraud might deposit just under this amount each day, or will complete two $5,000 transactions in the same day.
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Contact UsHow A PI Helps With Insurance Fraud
The best way to validate claims of insurance fraud is surveillance. Private investigators are skilled at surveillance and social media monitoring, which will help provide crucial background information. Surveillance and monitoring when done over a period of time will help a PI catch slip-ups to use as evidence against the claimant.
Private investigators can also conduct interviews with those close to the subject. Planning out interviews with the insurance company, bank officials, and friends and family is important to building a case. Our team at St. George Investigations will help conduct interviews that will provide crucial insight and proper documentation to convict someone of insurance fraud.
How Often Do Insurance Companies Utilize Private Investigators?
Some insurance firms will have their own hired fraud investigators because of the frequency of insurance fraud claims. Others will hire third-party PIs every once in a while for complex or hard fraud insurance schemes. According to the Coalition Against Insurance Fraud, there is about $80 billion paid out annually to fraudulent insurance claims. Those who don’t commit insurance fraud will then have to pay higher premiums to make up for this risk to insurance companies. A company should have a PI at the ready to help lower the risk of fraud.
Consequences Of Insurance Fraud
Committing insurance fraud of any caliber will result in severe consequences. The consequences can range from financial penalties to criminal charges depending on the type of insurance fraud committed. Insurance companies may block you from seeking services from them in the future in addition to criminal charges. In some cases, you may face imprisonment or large fines while other cases may damage your reputation and future opportunities.
Investigating Fraudulent Insurance Claims
St. George Investigations has the resources and skills to solve insurance fraud quickly. An insurance company that has suspicion of fraudulent activity should reach out to a PI as soon as possible. Working with our professionals will help you avoid higher premiums for your other clients and prosecute those who take advantage of you to the fullest extent. A private investigator will help uncover schemes that have been hidden for months or years. St. George Investigations has worked with many different people in the past and has the proper resources to help achieve the best results in any legal case. Whether you suspect you are a target of insurance fraud or you own an insurance company, our team would be happy to help investigate for you.
FAQs
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What does an insurance fraud investigator do in St. George, Utah?
An insurance fraud investigator in St. George, Utah specializes in uncovering false or exaggerated insurance claims. They use surveillance, social media monitoring, and interviews to gather evidence against individuals or businesses committing insurance fraud, helping insurance companies save money and protect honest policyholders. -
What types of insurance fraud can a private investigator in St. George, Utah detect?
Private investigators in St. George can detect various types of insurance fraud, including falsified auto claims, exaggerated damage reports, false disability claims, staged accidents, and soft fraud like misrepresenting income or inflating the value of lost items. Their expertise helps build strong cases to prove fraudulent activity. -
How can I hire an insurance fraud investigator in St. George, Utah?
You can hire an insurance fraud investigator in St. George by contacting local private investigation firms specializing in insurance claims. They will assess your case, conduct surveillance, and collect evidence to confirm or deny fraudulent activity. St. George Private Investigations is a trusted local agency with experience handling complex insurance fraud cases. -
Why do insurance companies in St. George, Utah use private investigators for fraud cases?
Insurance companies in St. George use private investigators to identify and prove fraudulent claims quickly and effectively. Fraud costs insurers billions annually, which ultimately raises premiums for honest customers. Private investigators help reduce these losses by uncovering hidden schemes, protecting the insurer’s financial interests. -
What are the consequences of insurance fraud uncovered by investigators in St. George?
If an insurance fraud investigator in St. George uncovers fraudulent activity, consequences can include criminal charges, large fines, imprisonment, and denial of future insurance claims. Both hard fraud (like staged accidents) and soft fraud (like exaggerating claims) carry serious legal and financial repercussions.