Live from ACE: Diving into the world of insurance fraud
The Coalition Against Insurance Fraud’s Matthew Smith discusses frauds that emerged during the pandemic.
The new normal is still evolving,” Matthew Smith, executive director of the Coalition Against Insurance Fraud, told the audience at the America’s Claims Executive Forum in New Orleans, La. The latest Insurance Speak podcast recaps some of the highlights from that presentation.
“We learned we can do way more than we ever thought,” he said describing how insurers pivoted quickly to working in a remote environment while serving policyholders. “Change and chance aren’t necessarily negatives in the world of insurance. We can keep the good, throw out the bad and keep looking toward the future,” he contends.
Fraudsters took advantage of more people being online throughout the pandemic, which spawned a 600% surge in malicious emails by May 2020. Fake insurance claims in Spain soared by 21% and the U.K. estimated their fraud cases rose 32% by June 2020. “Fraud is a global issue,” explained Smith.
He also discussed the growing risk of identity theft, which totaled $721.3 billion in losses in 2021. The age group with the highest number of victims? Those who are 35-44 years of age comprised 30% of all identity theft victims.
For more on Smith’s closing keynote address at ACE, listen to the podcast above or subscribe to Insurance Speak on Spotify, Apple Music or Libsyn.
Related:
How to find and mitigate underwriting fraud
Insurance is among the industries at highest risk for digital fraud