Session 1: An Analysis of Crimes Related to Insurance and the Role of International Co-operation (From Report for 1987 and Resource Material Series No. 33, P 285-290, 1988, Hideo Utsuro, ed. -- See NCJ-124255)

• NCJ Number: 124267
• Author(s): A B H Mokhtar
• Date Published: 1988
• Length: 6 pages
• Sale Source: National Institute of Justice/; United Nations Asia and Far East Institute for the Prevention of Crime and Treatment of Offenders
• Publication Type: Report (Study/Research)
• Language: English
• Country: Japan

Annotation

This report identifies the characteristics of various types of insurance crime, discusses the need of versatility in investigating such crimes, and recommends radical change in legislation pertinent to such crimes.

Abstract

Fraud covers an array of irregularities and illegal acts characterized by intentional deception. The structure of insurance transactions makes it convenient for any person to commit insurance fraud. Fraudulent insurance brokers have swindled clients or insurance companies by overcharging or falsifying applications. Insured persons or groups of persons have made claims based on fake accidents. Others intentionally exploit real accidents by artificially aggravating and prolonging the consequences of accidents. Common patterns in marine insurance fraud are the scuttling of ships with the connivance of the owner, deliberate stranding of vessels, deliberate machinery damage, and nondisclosure of material facts to the insurer. Arson is another crime that attempts to benefit fraudulently from the insurance industry. The automobile sector of the insurance industry is also susceptible to fraud. The current breed of investigator is ill-equipped to investigate multinational conglomerates involved in insurance crime. Highly skilled, specialized fraud units are required. Laws must be changed to facilitate international extradition and the reception of foreign evidence.