South Africa: 30% of insurance claims estimated to be fraudulent

The South African Insurance Crime Bureau has stated that 30% of insurance claims filed in the country are estimated to be fraudulent, South African daily The Times reported.

Total claims in the country are estimated at 50 billion South African rands ($4.77 billion) for 2013, of which around ZAR 15 billion ($1.43 billion) are estimated to be fraudulent.

While those found guilty could face jail time, the problem affects innocent policyholders in the form of higher monthly premiums and more scrutiny.



Source Business Insurance