General Insurance Article - “Sharing of data is going to be key”


At a recent British Insurance Law Association (BILA) lecture, held at Lloyd’s, David Hertzell, President of BILA and Chairman of the Insurance Task Force, said that more effective use and sharing of data was going to be key in helping reduce insurance fraud.

 “No one knows the full extent of insurance fraud, however we do know that over £200m is spent by the UK insurance industry on fraud prevention. By its nature fraud is not generally disclosed, and it is impossible to account for things such as additional taxpayer costs of unnecessary visits to a doctor for a false medical complaint.”

 Hertzell explained that the internet had given rise to a new wave of fraudulent activity – “It is much easier to be dishonest if you don’t have to look at someone.” He went on to say that the largest type of fraud is minor opportunistic fraud, which is also the hardest to detect – “a common feature is the inability to prove it has, or hasn’t, happened.”

 The Task Force involved a large number of organisations including Association of British Insurers (ABI), Citizens Advice, the British Insurance Brokers’ Association (BIBA), the Financial Services Consumer Panel (FSCP), the Insurance Fraud Bureau (IFB) and the Financial Ombudsman Service (FOS). HM Treasury and Ministry of Justice officials also supported the Taskforce and attended its meetings. The Task Force was keen to make sure that its focus was not just on personal injury, where a significant amount of claims are made, and so a separate personal injury group was set up within the Task Force.

 The Task Force has made a number of conclusions and recommendations, not least that the Government establish a legacy vehicle to oversee the progress of the recommendations made in the report.

 Hertzell concluded the BILA talk explaining; “Lots can be done against fraud with effective use of data. Much of this data is in silo’s or held in-house for competitive advantage however in combatting insurance fraud sharing of data is going to be key.”
  

Back to Index


Similar News to this Story

Employers need to communicate workplace benefits more
Employers are not doing enough to communicate workplace benefits to staff, according to new research from Canada Life Group Insurance. A third (34%) o
Weather catastrophes drive majority of USD225bn cost
Aon launches its Weather, Climate & Catastrophe Insight: 2018 Annual Report. This evaluates the impact of global natural disaster events to identify t
Survey reveals motorists in the dark on Telematics benefits
A survey conducted by Redtail Telematics, the long-established provider of integrated telematics solutions worldwide for the insurance and fleet secto

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.