Singapore general insurers issue statement on fraud case

Singapore general insurers issue statement on fraud case | Insurance Business

Singapore general insurers issue statement on fraud case

The General Insurance Association of Singapore (GIA) has issued a statement in response to developments in an insurance fraud case involving two insurance agents and a chiropractor that allegedly teamed up to submit false accident claims.

According to the GIA, it is a common misconception that insurance fraud is only committed by consumers, but in reality even qualified professionals, such as the chiropractor in the aforementioned case, can be involved in fraudulent plots.

The statement said that Singaporean general insurers continue to spearhead and collaborate closely with key stakeholders, such as the Commercial Affairs Department, to combat fraud. In March, the association launched the GIA Insurance Fraud Tip-off (GIFT) scheme, which encourages the public to play a more proactive role in combating insurance fraud.

The GIFT scheme builds on the success of the GIA Fraud Management System (FMS), which was launched in 2017. The FMS employs data analytics and artificial intelligence to detect fraud cases at scale. Together, GIFT and FMS allow a more comprehensive approach in combating insurance fraud, according to the GIA. This also aligns with the recently announced Criminal Law Reform Bill, where dishonest or fraudulent intent to deceive a victim is now an offence, rather than the effect of deception of the victim.

“We strongly urge members of the public to work with the general insurance sector by reporting suspected general insurance fraud cases and coming forward with supporting evidence to GIA,” the statement said. “If you have been approached to participate in fraud or have first-hand information, report to the GIFT reward scheme instead for a cash reward of up to SG$10,000 after the fraudster is convicted.”