Insurance Fraud with Blockchian Tech

Nowadays, insurance fraud is one of the largest crimes in America, and at least $80 billion is stolen each year. The phenomenon in China is also becoming more and more obvious, then country’s fraud fight needs to improve, despite much progress. Gaps need closing — and fraud fighters are working hard on it.

What is the ‘insurance fraud’?

An illegal act on the part of either the buyer or seller of an insurance contract. Insurance fraud from the issuer (seller) includes selling policies from non-existent companies, failing to submit premiums and churning policies to create more commissions. Buyer fraud includes exaggerated claims, falsified medical history, post-dated policies, viatical fraud, faked death or kidnapping, murder and much more.

And why such fraud so big?

Health system an easy target. Medical providers exploit automated billing systems with cleverly disguised treatment claims.

Low-risk crime. Cheaters view insurance fraud as a low-risk, high-reward gambit. Even drug dealers have entered insurance fraud.

Insurers back off. Most insurers actively combat fraud. But some still pay certain suspicious claims. They believe it's cheaper than going to court.

Low legal priority. Prosecutors often give top priority to combating drugs, violence and other high-profile crimes.

Too much tolerance. Some people mistakenly think insurance fraud is a harmless prank.

Insurance fraud is basically an attempt to exploit an insurance contract. Insurance is meant to protect against risks. It isn't meant to be a tool to enrich the insured. Although insurance fraud by the policy issuer still occurs, the majority of cases have to do with the policyholder attempting to receive more money by exaggerating a claim. More technical solutions should be executed:

ShuqinTech is a Blockchain company for Blockchain solutions. They have cooperated with traffic police to build a service platform based on Blockchain. The smart insurance platform can cooperate with the third institute, accessing to insurance data, personal credit data, then providing the whole service process for customers. At the same time, risk management system can make use to the insurance fraud. By introduced Blockchain and DRGs system, the smart process can reduce manual workload, meanwhile, optimize the claims process.

For more solutions:

https://www.baoquan.com/en/

If you are a Blockchain developer, if you are familiar with IBM Hyerledger, Ethereum, siacoin or bitcoin, if you are good at golang language, if you wanna change your position, if you wanna fight in Blockchain field, if you are seeking for a better life,   please contact us: js@baoquan.com