Okuzeka
Insurance vocabulary · Claims

Insurance fraud

Meaning in insurance, with examples

nounCommon term

In insurance, insurance fraud means: Deliberately lying to an insurance company or faking a loss in order to receive money that is not owed.

In Turkish: sigorta dolandırıcılığı, sigorta suistimali

How it is used

A crime that raises premiums for everyone. Typical examples are staged accidents, inflated claims and false medical bills. Insurers have special investigation units that detect and investigate suspected fraud.

Example sentences

  1. The investigation unit found that the accident was staged, a clear case of insurance fraud.

  2. Insurance fraud costs the industry billions every year.

Common collocations

  • commit insurance fraud
  • suspected insurance fraud
  • fraud investigation
  • staged accident
  • claimA formal request to an insurance company to pay for a loss, damage or medical cost that the policy covers.
  • claims adjusterA specialist who investigates a claim, inspects the damage and decides how much the insurance company should pay.
  • moral hazardThe risk that people become less careful, or act dishonestly, because they know they are insured.
  • material factAny information that would affect an insurer's decision to accept a risk or the premium it charges, and that the customer must therefore disclose.

More terms: Claims

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This page explains English vocabulary for learners. It is not financial advice.