Coalition Against Insurance Fraud
Encyclopedia
The Coalition Against Insurance Fraud is a coalition of insurance
organizations, consumers, government agencies and legislative bodies working to enact anti-fraud
legislation, educate the public, and provide anti-fraud advice. They are also a resource where consumers can find scam warnings, learn where to report fraud, and how to protect themselves.
The Coalition was founded in 1993 after several organizations reported a heavy rise in insurance fraud and a need to stop it.
. The only passengers in the busses were fraud
investigators. After the crash, they received over 100 claims from people who jumped on the bus after it crashed or simply drove by the scene and wanted to claim insurance
money saying they were injured.
In response to this problem, seventeen organizations formed The Coalition Against Insurance Fraud, contributing $500,000 to finance anti-fraud efforts. At the time, The Coalition estimated that auto fraud cost over $8 billion a year in overpaid claims.
Since then, The Coalition has grown to include over 90 members, including Geico, National Consumers League, First Acceptance Corp., Healthcare Insight, Property Casualty Insurers Assoc. of America, SAS Institute, Thomson Reuters, Nationwide, and the Virginia State Police.
Insurance
In law and economics, insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the...
organizations, consumers, government agencies and legislative bodies working to enact anti-fraud
Fraud
In criminal law, a fraud is an intentional deception made for personal gain or to damage another individual; the related adjective is fraudulent. The specific legal definition varies by legal jurisdiction. Fraud is a crime, and also a civil law violation...
legislation, educate the public, and provide anti-fraud advice. They are also a resource where consumers can find scam warnings, learn where to report fraud, and how to protect themselves.
The Coalition was founded in 1993 after several organizations reported a heavy rise in insurance fraud and a need to stop it.
History
In 1993, insurance fraud investigators staged several bus crashes in New JerseyNew Jersey
New Jersey is a state in the Northeastern and Middle Atlantic regions of the United States. , its population was 8,791,894. It is bordered on the north and east by the state of New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania and on the southwest by Delaware...
. The only passengers in the busses were fraud
Fraud
In criminal law, a fraud is an intentional deception made for personal gain or to damage another individual; the related adjective is fraudulent. The specific legal definition varies by legal jurisdiction. Fraud is a crime, and also a civil law violation...
investigators. After the crash, they received over 100 claims from people who jumped on the bus after it crashed or simply drove by the scene and wanted to claim insurance
Insurance
In law and economics, insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the...
money saying they were injured.
In response to this problem, seventeen organizations formed The Coalition Against Insurance Fraud, contributing $500,000 to finance anti-fraud efforts. At the time, The Coalition estimated that auto fraud cost over $8 billion a year in overpaid claims.
Since then, The Coalition has grown to include over 90 members, including Geico, National Consumers League, First Acceptance Corp., Healthcare Insight, Property Casualty Insurers Assoc. of America, SAS Institute, Thomson Reuters, Nationwide, and the Virginia State Police.