General Fraud
Any intentional act committed by one of the parties in the insurance contract to obtain undue indemnities or benefits to themselves or others through deception or concealment of relevant documents and/or misrepresentation of information.
Examples of General Fraud
General Fraud is any intentional act committed by one of the parties in the insurance contract to obtain undue indemnities or benefits to them or to others through deception and or concealment of required documents or misrepresentation of information.
Examples of General insurance fraud
- Misrepresentation of material facts might occur if an insurance proposer makes a false statement with the intention to deceive the insurer to obtain an unlawful gain, e.g. a discount on premium.
- Inflated Damage/Loss of property. This may occur after a fire incident and an insurance claim gets filed.
- Designation of a special email to report fraud managed by the team of the anti-fraud department. Increase the deductible. Arson for Profit, dwellings or commercial properties are destroyed by fire for the sole purpose of financial gain.
- Cooperation with other insurance companies. Claim Rejection. A claim is filed for a boat that sank, but the boat never actually existed. It is not difficult to register a boat based on a bill of sale.
Negative effects of General insurance fraud
- High premiums.
- Claim process duration increased due to investigations.
- Increase the deductible.
- Claim Rejection.
Examples of General insurance fraud
- Application of a sophisticated fraud control information system. High premiums. Misrepresentation of material facts might occur if an insurance proposer makes a false statement with the intention to deceive the insurer to obtain an unlawful gain, e.g. a discount on premium.
- Cooperation with regulatory bodies such the Insurance Authority. Claim process duration increased due to investigations. Inflated Damage/Loss of property. This may occur after a fire incident and an insurance claim gets filed.
- Designation of a special email to report fraud managed by the team of the anti-fraud department. Increase the deductible. Arson for Profit, dwellings or commercial properties are destroyed by fire for the sole purpose of financial gain.
- Cooperation with other insurance companies. Claim Rejection. A claim is filed for a boat that sank, but the boat never actually existed. It is not difficult to register a boat based on a bill of sale.
Frequently Asked Questions
General insurance fraud is any intentional act committed by the policyholder or a firm insured by Salama company to obtain undue indemnities or benefits to them or to others through deception or concealment of required documents and/or misrepresentation of information or abuse, and misappropriating assets.
Although anyone involved in the General insurance process can commit a fraud, for example, Policy holders, Loss assessor, Partnerships. Despite that, Salama company still has its trusted and respected clients and business partners.
General Insurance Fraud: Is an act or omission of an act intended to gain dishonest or unlawful advantage or avoid a lawful disadvantage for the party committing the fraud or other parties. This may, for example, be achieved by means of: 1- Deliberately misrepresenting 2- Concealing 3- Disclosure one or more of material facts of insured risk Abuse refers to misappropriating of the assets, and abusing authority, a position of trust or a fiduciary relationship
The impact of committing the fraud; and if one case pass successfully this will be a negative impact on insured and insurance company as well and encourage the fraudsters to commit more; the main affect will be take these circumstances: 1- High premiums. 2- Claims investigations will increase due to the long process investigations. 3- High Deductibles. 4- The cost of claims will be high.
