| UK life insurance companies are becoming so | | | | potential frauds, and there are much better procedures |
| concerned at the amount of false claims that they | | | | at claim level to allow insurers to probe further. |
| have issued a reminder to would-be fraudsters of the | | | | Systems introduced since 2006 allow analysis of |
| existence of the Insurance Fraud Bureau (IFB), first | | | | insurance policies and claims records from all the |
| launched in 2006. | | | | insurers participating in the scheme, and can highlight |
| The life insurance industry is worried that the recent | | | | any suspicious activity. Basically, the bureau can use |
| high-profile case of 'canoeist' John Darwin may have | | | | insurance companies' records to compare life |
| put ideas in some potential fraudsters' minds, so is | | | | insurance claims and assess whether they are likely to |
| keen to nip any such thoughts in the bud before more | | | | be genuine, fraudulent, or perhaps the work of an |
| people go 'missing', presumed dead. | | | | organised criminal ring. |
| Although originally launched to counter the actions of | | | | The IFB is going to extensive lengths to catch |
| criminal gangs, the IFB soon added investigation of | | | | fraudsters and methods to determine whether |
| fake insurance claims to its remit. Technical and | | | | claimants are telling the truth include the use of voice |
| corporate affairs executive for the British Insurance | | | | analysis software, which can allegedly pick up subtle |
| Brokers Association (BIBA), Graeme Trudgill insists that | | | | changes in a caller's telephone voice. The computer |
| fake claims damage everyone as they make | | | | program will identify any nervousness and alert |
| insurance more expensive, for which we all pay in the | | | | investigators to a potential fraud. But, that is about all |
| form of increased premiums. | | | | that the IFB will reveal about its methods. All other |
| Systems have become much more integrated and | | | | detection methods are being firmly kept under wraps |
| with the life industry backing the IFB and providing | | | | in case they are compromised by would-be fraudsters. |
| much access to information, Trudgill says that it is | | | | In the wake of the global credit crunch and the rapid |
| easier to spot potential fraudsters. He concedes that | | | | deterioration in life assurance valuations, UK insurers |
| life insurance fraud is becoming a problem, but also | | | | will be doing all they can to weather the storm, and |
| claims that because the IFB are better able to | | | | that includes mitigating any potential fraud losses - |
| investigate that anyone thinking of perpetrating a fraud | | | | guaranteeing that any claims will be vehemently policed |
| should think twice. | | | | over the coming year. |
| Extensive modelling has been developed to identify | | | | |