An open letter from state fraudbureaus to insurers
Hello from Venus. To my neighbors from Mars, the NAIC’s Anti-FraudTask Force discussed last week how we all have noticed a decline in referralsstate fraud bureaus are receiving from insurer victims. Howard Goldblatt’sfollowup FraudBlog pursued that theme constructively.
Notice I used the word victim. We consider insurers just that, avictim.
Now we agree with SIU directors that the “black hole” still existsin some instances. We find ourselvesconcentrating so hard on cases that make the cut that we often forget to giveyou feedback. We really don’t want you to stop reporting because you are wearyof the “black hole.”
State fraud bureaus also hope you remember your obligation to report cases to us. Some states evenhave made it a crime not to report. Let me stress that reporting to us shouldnot feel like an obligation. You should have faith that we will do the best wecan to fight insurance fraud and make sure that every state’s residents areprotected from paying for those who break the law.
We have really tried hard over the past few years to give youoptions to report to us in a convenient manner. Many of you have offeredexcellent and appreciated suggestions. We have listened to your input, and haveimplemented many of your ideas. We know the process is not always perfect,though it is getting better.
We have partnered with organizations such as the Coalition toeducate you on how to report insurance fraud to us. We certainly welcome anydialogue that can put this issue to rest. I actually asked Howard this week forhelp in reaching out to you. We want to be the first to step up and ask thatyou join us in a dialogue that can help us serve all states’ residents whilepreserving your business interests.
I must say that we have a strong group of fraud directors acrossthis great country. We are committed to eliminating insurance fraud. We aremeeting in Seattle, Wash. in a few weeks. I am sure this issue will bediscussed at length. We really seek your help. We are all in, over here inVenus.
About the author: Shane Guyant is director of the CriminalInvestigations Division of the North Carolina Department of Insurance. He alsochairs the NAIC’s Antifraud Task Force.