Travelers Shares Strategies to Help Protect Businesses and Consumers from Insurance Fraud
In recognition of International Fraud Awareness Week, Travelers (NYSE: TRV) is highlighting strategies to help businesses and consumers protect themselves from insurance fraud. This threat costs Americans $308.6 billion annually, according to estimates from the Coalition Against Insurance Fraud.
"Insurance fraud drives up the overall cost for everyone and undermines consumer trust and the integrity of the insurance process," said Pranay Mittal, Vice President of Travelers Investigative Services. "By raising awareness of the many forms these threats can take, and equipping individuals and businesses with the tools they need to recognize and prevent fraud, we can create a more secure marketplace together."
A recent Travelers survey indicates businesses are primarily concerned about medical provider schemes involving coordinated networks of health care professionals; digital scams affecting business systems and data; and employee fraud occurring within organizations. Separately, consumers were concerned with contractor fraud and pre-planned car accidents that target individuals.
"Criminals keep getting smarter and more sophisticated, and the resulting insurance fraud costs the industry and everyday consumers hundreds of billions of dollars each year," said David J. Glawe, President and Chief Executive Officer of the National Insurance Crime Bureau. "Our partnership with Travelers, along with other insurers, law enforcement, regulators and legislators, is essential to combat fraud through enhanced education and prevention measures that help businesses and consumers recognize and respond effectively to these threats."
The public should be aware of emerging schemes and be prepared to immediately report any concerns to their insurer and law enforcement.
Additionally, Travelers recommends businesses take the following steps:
- Train and Educate Employees – Provide ongoing training so employees can recognize and report suspicious activity.
- Enhance Security Monitoring – Use cameras, sensors and surveillance in key areas such as warehouses, parking lots and jobsites to help deter fraudulent behavior.
- Partner with Insurers – Share intelligence and insights with your insurance carrier in a timely fashion to strengthen your defense, identify patterns and prevent repeat offenses.
- Establish Post-Accident Best Practices – Following any incident, prioritize safety and thorough documentation. Act quickly to gather important details (i.e., photos of damages, contact information from parties involved, witness statements, police reports, etc.) to support claims handling and fraud prevention.
For consumers, suggested steps include:
- Verify Credentials of Third Parties – Double-check the credentials of contractors, medical providers and repair shops before engaging in any transactions.
- Maintain Honesty and Transparency – Avoid exaggerating or falsifying claims. This helps insurers identify real issues quickly and protect legitimate policyholders.
Travelers Investigative Services is a specialized team that provides customers with industry-leading support in detecting and preventing insurance fraud throughout the claims life cycle.
For more information, please visit Travelers.com.
About Travelers
The Travelers Companies, Inc. (NYSE: TRV) is a leading provider of property casualty insurance for auto, home and business. A component of the Dow Jones Industrial Average, Travelers has more than 30,000 employees and generated revenues of more than $46 billion in 2024. For more information, visit Travelers.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20251119334998/en/
Media:
Chesleigh Fowler, 860.277.5102
[email protected]