subject: Residency Checks to Avoid Fraudulent Insurance Claims [print this page] Residency checks are a great way to avoid fraudulent insurance claims. These checks are performed to make sure the person taking out insurance and filing claims actually live in the area they say they do. It's not uncommon for someone to claim to live in one area to receive cheaper rates on auto insurance or to benefit themselves in some way while taking advantage of others.
In some cases, a person who is filing a false disability claim may give a fake address to prevent anyone from checking up on them and proving they're not actually hurt. They don't want anyway taking pictures of them performing some task they're suppose to be too injured to do such as, moving furniture or even driving a car.
If someone is committing fraudulent claims with your company due to providing false information about their residency, it can deplete your company's resources. Not only does this affect your business but it can affect the rest of your clients as well. For example, you may have to raise rates to compensate for your losses when you're paying out money to someone that doesn't deserve it. Both your company and clients suffer when this happens.
Residency Checks Can Make a Difference
A residency check is a fast and simple way to ensure that your company is not paying out fraudulent insurance claims. This is very important because when someone commits this type of fraud it drains the resources for that area and the local population suffers. They're taken advantage of the system and the taxpayer is the one that pays in the end.
Residency checks can make a difference and save your company money by decreasing the number of fraudulent insurance claims that are being filed. Insurance companies can cut cost on their overall expenses and save everyone money in the long run. They do make a difference.
Help Stop Fraudulent Insurance Claims
You can help to put a stop to fraudulent insurance claims and help keep the taxpayers in your area from having to support non-residents by conducting residency checks. There are two types of residency checks available and they are called the surveillance-based and the electronic based checks.
The electronic residency checks will search the public records to determine if someone is a resident of a certain area or not. Public records can include checking a person's utility bills to learn what address the person is using on these bills. The surveillance checks involves secret surveillance that will determine if the person physically resides where they claim to live. This is often used for checking for disability claims.
If you suspect one of your clients of committing this type of fraud, you can settle the matter very easily with a one of these checks. Once you determine their residency, you'll be able to determine if the claim is legitimate or not. Residency checks to avoid fraudulent insurance claims is one of the easiest and fastest ways to protect your business from claims that can eat up your resources and put a strain on your company.
Residency Checks to Avoid Fraudulent Insurance Claims
By: Lisa Mason
welcome to Insurances.net (https://www.insurances.net)
