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Insurances lurk in pandemic



While long-distance, socially isolated romance scams and internet banking scams have a glory day during the COVID-19 pandemic, a Reuters news report reports hectic days for those accused of catching scams affecting insurance companies as a major issue.

According to BAE Systems Applied Intelligence research, US insurance fraud, mostly where fraudsters try to deceive insurers on COVID-19 restrictions, has doubled in 2020, and to date cost the industry $ 100 billion, according to the report.

Dennis Toomey, BAE's Global Head of Anti-Fraud Analysis, told Reuters that there has been a sharp increase in "creative claims", ranging from car rental companies inflating the cost of disinfecting vehicles to policyholders logging in multiple claims with different insurance companies for the same canceled trip.

"The conditions are perfect for creating a perfect storm … high motivation and low protection," Toomey told the wire service.

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