Page 35 - Insurance Times Octoberr 2022

REGULATOR

FACES THE HEAT

AS INSURANCE

FRAUDS

ESCALATES

case of auto insurance fraud worth crores of additional Rs 40 lakh was paid in addition to the actual
A rupees using forged documents has come to amount claimed as insurance. Investigators from the New
India Assurance Company, the National Insurance Company
light in the Kerala state. A detailed investigation
conducted by the State Crime Branch revealed in Kerala, had conducted their own investigation and
the modus operandi of the fraudsters. In two cases a vehicle submitted evidence including documents to the police. 15
in eight cases and in 11 cases another vehicle was produced policemen of the above police stations, five advocates and
for claiming the sum insured. According to the preliminary their gumstans (helpers), some doctors working in two
assessment of the police, the fraud could be more than 50 private hospitals in the city and agents of advocates acting
crores. Interestingly, this is the first time such a huge fraud as middlemen have been accused in these cases, to be
has been detected in Kerala. Under the investigation of introduced as, In some northern districts, cases of insurance
many cases, the Crime Branch has registered an FIR in company employees being involved in fraud have also been
eleven cases. It has been found that the agents acted as reported.
middlemen to carry out bogus accidents and defraud the
insurance companies. During the investigation, the police found evidence that
indicated that even those involved in minor accidents had
The police have hand over evidence which shows that an to get the documents signed. After obtaining his signature,
minor mishaps were blown up and shown as swindling of
About the author large sums of money. Vehicle owners are promised half the
amount as part of the deal. Though FIRs have been
Jagendra Kumar
registered in 11 cases, at present only one lawyer of the
Ex. CEO,
Vanchiyur court has been presented as an accused. Soon
Pearl Insurance Brokers
after the matter came out of the air, the said advocate
Jaipur
withdrew the applications for fresh claims from the court.
The Insurance Times, October 2022 35