Insurance companies in Nevada have the important duty to provide insurance coverage for their customers. Property insurance companies cover their client’s homes and businesses in the event that the unexpected occurs. Most of the time property damage insurance claims are legitimate. But every year across the United States, billions of dollars is lost to fraudulent insurance claims. There are some red flags an insurance company should look out for when spotting insurance fraud.
- History of filing claims
- Client who increases insurance coverage just before submitting a claim
- Claim filed shortly after insurance coverage is purchased.
- The customer doesn’t show any emotion when submitting a large insurance claim.
- There is no police report.
- The claim reporting is delayed.
- There are suspicious receipts provided, including handwritten receipts.
- There is damage or theft of family heirlooms which can be impossible to establish accurate value.
- The customer already has insurance coverage but wants another policy.
Insurance fraud investigations
Fraud investigations by an insurance company can have a devastating impact on customer loyalty. An insurance company has to be careful on what it chooses to investigate and whether it is worth losing that client. But if the insurance fraud is large, an insurance company has the legal right to pursue damages. An insurance company may also have the obligation to take a hard line on insurance fraud.
A legal professional who is skilled in insurance law can help their client understand their legal rights when it comes to insurance fraud. They understand that their insurance company has a bottom line they need to adhere to and they will fight to hold those who commit insurance fraud accountable for their crime.
