Subject	They do some pretty in-depth research in claim fraud.
Posted by	Kenny on December 28, 2007 at 6:47 PM
	This message has been viewed 29 times.
In Reply To	How do they factor in the fraudlent claims? posted by Evan(CA) on December 28, 2007 at 04:34 PM
Message	Google about, there's lots of information on how they compile fraud information and statistics. That being said, they don't need to know if a paid claim is fraudulent of not after the fact - it's still an expense. They don't have to factor anything in; insurance companies know their total expenses. Fraudulent claims are a subset of the total set of claims. All expenses are passed onto the customer base in the form of higher rates - it's that simple. The insurance company doesn't identify a paid claim as fraudulent, and then increase rates to get a refund. They increase rates with respect to total expenses. Overhead goes up? Rates go up. Total number of claims goes up? Rates go up. These are obvious corollaries given the simplified formulas posted earlier. Recursively Yours, Kenny... PETZ Member #5 You guys rock socks. (Click for pie-chart) Computer Science is no more about computers than astronomy is about telescopes. - EW Dijkstra
Follow Ups	Expensive bodyshop around Gilroy, Ca - BlackholeZ 14:29:10 12/27/07 nothing like a little insurance fraud to brighten the day. - ni[X]it 14:39:24 12/27/07 lol, you can keep your $10 - BlackholeZ 14:46:24 12/27/07 have him pay you $200.oo or so cash, - ni[X]it 14:52:18 12/27/07 If I had known the conditions then, I probably would have. - BlackholeZ 14:58:55 12/27/07 You should change your comp. ded. to $50. - not-hrz 16:04:37 12/27/07 thanks, I'll check that out (n/m) - BlackholeZ 16:09:28 12/27/07 Screw the insurance companies. (n/m) - Evan(CA) 15:02:45 12/27/07 You realize they pass the screwing onto customers, right? - Kenny 23:37:50 12/27/07 If it wasn't that it would be something else. - Evan(CA) 01:04:13 12/28/07 I could not agree more... - tdogzjoint 03:43:46 12/28/07 Thank you for proving my point. - Kenny 11:08:21 12/28/07 How do they know what claims are fraudulent? - Evan(CA) 15:48:39 12/28/07 You aren't reading very closely. - Kenny 16:27:32 12/28/07 How do they factor in the fraudlent claims? - Evan(CA) 16:34:50 12/28/07 They do some pretty in-depth research in claim fraud. - Kenny 18:47:15 12/28/07 Do you know how aggregation works? (n/m) - Kenny 11:04:13 12/28/07 I'll have to agree with evan on that one Kenny... (n/m) - nonstopna 01:23:14 12/28/07 you say that as if the screwing isn't the default policy (n/m) - LJZTT 01:36:32 12/28/07 Lol...Yep (n/m) - tdogzjoint 04:30:26 12/28/07 I didn't imply that at all. (n/m) - Kenny 11:04:38 12/28/07 I have no qualms with giving insurance companies a taste of - LJZTT 15:11:34 12/27/07 Then drop your comprehensive insurance. (n/m) - Kenny 23:38:31 12/27/07 I'm not following you (n/m) - LJZTT 01:35:40 12/28/07 If you don't like the product, stop buying it. (n/m) - Kenny 11:08:42 12/28/07 I like the product, I don't like getting screwed over, or - LJZTT 12:15:02 12/28/07 That's part of the product/service you're paying for. (n/m) - Kenny 12:44:21 12/28/07 and the other side of that coin is that the customer does - LJZTT 00:14:26 12/29/07 re: - keu28 15:26:32 12/27/07 I have alot more to do - BlackholeZ 15:46:25 12/27/07 Getting an estimate... - Jehannum 06:24:38 12/28/07 every body shop in Salinas is "expensive"... - myzislow 11:52:36 12/28/07 thanks, lol - BlackholeZ 04:28:09 12/29/07
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