Where can we report insurance fraud in South Africa?

Has a friend boasted about an insurance claim paid to him for something he reported stolen – which was in fact not stolen? Or has someone told you to claim for something of “higher value” than what you have actually lost.

This has happened to me – but I am proud to say I simply cannot live with telling a lie in a claim form. Some however will not think twice and believe that their insurance payments are similar to the money deposited in a bank account from where they are entitled to make withdrawals as and when they see fit!

Insurance fraud and insurance premium increases

Insurance fraud is one of the major contributing to escalating insurance premiums – and something which we need to address if we would like to keep insurance premiums at affordable levels.  Those who are submitting fraudulent claims are stealing not only from the insurance company – but from you and me!!

The South African Insurance Crime Bureau is leading the way in combating insurance fraud. We would like to provide more information on one of the initiatives to prevent insurance fraud:

DELOITTE—INSURANCE FRAUDLINE

Deloitte Tip-offs Anonymous is proud to be associated with the South African Insurance Crime Bureau (SAICB) and the South African Insurance Association (SAIA) for the past 10 years – the last two years under the auspices of the SAICB and the previous 8 years through the SAIA, aiding them in their fight against fraud and crime in the South African insurance industry. Assisting companies in fighting fraud and crime is our core business and therefore our alignment with the SAICB is allowing us to achieve our core objective as well as ensuring that as a team we continue to make a positive difference in our country.

One of the serious current issues facing businesses today is occupational fraud. This was also confirmed by a recent global fraud survey- which included South Africa and other African countries – conducted by the Association of Certified Fraud Examiners where they stated that a typical organization loses 5% of its annual revenue to fraud.

The media is filled with news and reports of scams, fraud and inappropriate behaviour within organisations. But this is only the tip of the iceberg. Unreported or undetected fraud is the real threat, like the 90% of an iceberg which lies below the surface, invisible and dangerous. Discerning captains of commerce and industry throughout the world are fully aware that even the best organisations are not unsinkable as they navigate their course through icy seas where there are many icebergs. But it doesn’t matter whether you’re the captain or the most junior crew member – hitting an iceberg could mean disaster for everyone.

According to Nicholas John, Chief Executive Officer of Deloitte Tip-offs Anonymous, statistics indicate that commercial crime reported had increased by nearly 30 percent since October 2009. John pointed out that people across the board were ―living on the edge‖ as a result of the recent economic downturn that began to impact South Africa towards the latter part of 2009, so vigilance especially now was critical.

Deloitte Tip-offs Anonymous facilitates the insurance fraud and crime hotline service for the SAICB, which is a powerful, low-cost, 365-day a year, 24-hour fraud and crime-reporting subscriber service in a number of languages, which allows the general public and stakeholders of member company, government departments or state-owned enterprises to report incidents of fraud and crime in an anonymous and confidential manner.

The service provides an independent third-party toll-free telephone, fax, email, website and freepost address which enables the general public and stakeholders to report unethical, criminal or other inappropriate behaviour in their organisation or observed/experience about other organisation/s or people. A report is then forwarded to the subscriber for action, in this instance the SAICB.

The Fraudline has been an integral part of the SAICB’s service to the industry and to date, reports from the Fraudline has resulted in two cases being investigated by the SAICB and valuable information on possible fraudulent activities by individuals sent to the industry to review.

Recent economic trends in SA show that as GDP growth decreases, commercial crime in-creases. This indicates that there is very little money to put towards the economy which leads to consumers in debit and under stress to consider committing fraud and crime in greater numbers. In the current economic situation this trend is bearing out and the vigilance of the public and affected organisations is vital in turning the tide.

The present and future partnership between Deloitte Tip-offs Anonymous and the SAICB is an essential cog in the fight against insurance fraud and crime in the country.

[Information from the South African Insurance Crime Bureau]

6 thoughts on “Where can we report insurance fraud in South Africa?

  • June 2, 2011 at 12:58 pm
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    My father’s estate which was made out in my name has dissappeared, along with his ID document. The person who took it is a close relative. He is late and also his death certificate is gone. He has worked for the railways in KZN for many years before his death. I believe that he’s estate was administered by Metropolitan. Also they cannot do anything without hes ID document. What can I do.

    • June 2, 2011 at 2:02 pm
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      You might need to refer to the will to start with. You are entitled to approach the Department of Home Affairs for a copy of the death certificate. Enquire who has been appointed as executor of the estate…..

  • June 21, 2012 at 10:13 am
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    Please help. In April we were involved in a minor car crash with a municipal bus. It was at peak traffic hour and we had difficulty getting to park on either side of the road. The bus driver was at fault as he was trying to change lanes and he scraped the side of our car. So we stopped and got his details(ID no. And cell number) and since he was on his way to drop off passengers we went alone to the police station to get a statement. The bus drivers insurance company sent over an assessor and he made an estimate and gave it to the company. When we phoned the company to see the progress of the claim they say that the driver says that the accident was our fault and that we should provide an indipendant witness, Which is imposible since it was peak traffic hour in the morning. On top of all this the people from the insurance company are rude and they never want to listen to what we have to say, it always ends in a huge arguement since the only thing they ever say is” get a lawyer to sort this out”. How can we get the insurance company to pay for our car to be fixed?
    Thank you in advance

  • August 9, 2015 at 12:14 pm
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    I know of a father and son who committed insurance fraud when the son rolled his father car. He was unlicensed and not covered by the insurance but they lied in the police report stating the father was driving at the time when he in fact was not even in the vehicle. They were paid out for the write off of their vehicle. How do I report this to the necessary authorities?

  • August 25, 2015 at 10:18 am
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    my kids are all young and I wanted to go for operation on my knee. Doctors told me it might be complicated. I decided to protect myself by having insurance and a put my nephew as a beneficiary. After short time he agreed with his brother to claim the money and told me to urgently attend my mothers funeral outside South Africa. Upon reaching there his brother took me to town where I was robbed with all my money passport, ID and other documents including my phone. The beneficiary join his brother in that counrty and they left together for South Africa and claim the money. when I find out and promise to face them in court, the claimant brother drunk poison and past away. The claimant is in hidding and am stranded and straving in foreign coutnry want to get my ID come back home face him in court. Please help.

  • February 25, 2016 at 8:17 pm
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    My Aunt steal ID documents and insure them without their permission. During funeral she dies not contribute steal death certificates and claim in various insurance companies. We want her to be investigated and charged with fraud. My uncle ID documents wewere stolen. Recently we find out his son in law insured my Uncle without his permission. It means they stole his ID.

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