Sunday, 20 April 2014

Insurance fraud up 27% at CZK 1bn in 2012

13 February 2013

Prague, Feb 12 (CTK) - Insurers in the Czech Republic checked 6,000 suspicious cases of insurance claims last year, a drop of 8 percent compared with 2011, and proved frauds worth over Kc1bn, a year-on-year growth of 27 percent, the Czech Insurers' Association (CAP) told CTK yesterday.

According to world statistics, roughly one in seven cases of insurance claims reported by clients to insurers is a fraud.

The highest number of insurance frauds was detected by insurers' experts in motor vehicle insurance again, although this indicator dropped by almost one-fifth year-on-year. The proved value of frauds in this category of insurance exceeded Kc371m, a growth of 13 percent compared with 2011.

The number of investigated cases of insurance of persons grew by 23 percent year-on-year to 1,296. The proved value of frauds in this category of insurance rose by 35 percent on the year to over Kc120m.

The biggest volume of proved frauds was detected in insurance of property and liability. Insurers' experts detected frauds worth Kc560m in this category, a growth of Kc137m against 2011.

Category of insurance number of cases insurance claims (in Kc millions) proved value (in Kc millions)
vehicles 3,855 618 371
transport 38 22 19
property and liability 954 805 563
persons 1296 123 111
total 6143 1.568 1.064

Source: CAP

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