Sunday, April 3, 2011

Singapore: GIA urged to set up central fraud database. Read the Malaysia Context

Asia Insurance Review reported on 1.4.2011

"With fraudulent claims on the rise, the General Insurance Association of Singapore (GIA) was urged by Ms Luz Foo Mei Lan, Executive Director, Insurance, Monetary Authority of Singapore, at GIA's Annual Luncheon to get members to share their individual fraud experiences and explore the possibility of setting up a central database to enhance fraud detection"

In actual fact, making individual fraudulent claims are not uncommon in the malaysian environment. Majority of Customers who purchased insurance often misunderstood the principles of Insurance. After they have made the premium payment and no claim was made under their policy, they would constitute the insurance as a "investment" lost to them (paid for the premium but no returns).

So be it themselves or in cohort with their partners in crimes, some would find ways to make a fraudulent insurance claims at the expense of Insurers.

Would you believe that an individual can even chopped their fingers off in order to make a claim out of their PA Insurance in times of financial difficulty?

Have you witnessed people with pre-existing medical ailment, declaring in the proposal that they are in the best of health, taking up medical insurance at the last minute. Then painfully waited 3 months for the waiting period to expire before admitting themselves to a private medical centre for treatment. Medical bills are then presented to the the Insurer to seek reimbursement?

Heard of patients working in liason with the attending physician in charge to alter the medical findings and inflate the cost of treatment?

Some lazy people with monday blues, for no apparent medical ailment, would asked to be admitted to medical centre for observation citing pain in stomach etc and then asked to be discharged from the medical centre few hours later.

Heard of Motor vehicle owners purposely crashed their car into objects then inflate the repair costs. Motor cycle owners even reported their machines stolen when they have just dumped them into the river or sea?

For theft related claims especially personal items like jewelry or watch, customers may not have the original purchase receipts with them anymore. Insurer would require proof of purchase to justify the claim. How then can the customer make an insurance claim. Very simple, just get an old official receipt from friends similar to the items lost and present same to the Insurer.

The list goes on.

Onus is on the Insurer to proof that the claims are fraudulent.

2 comments:

  1. I'm 29 follower today.. Generation now put yr blog explore at Facebook now.
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    My facebook and email is wayne6188@gmail.com
    Skype wayne8228.
    Nice to meet u and feel yr seminar very interesting.. Thanks. ;-)

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  2. Hello Mr Steven,
    I'm not a computer expert, don't know where to click to become a follower. Anyway I enjoy the seminir on 12/4/2011. Thanks for share with us.

    catherine
    catherinelohly@yahoo.com

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