ENHANCED DUE DILIGENCE TO CURB INSURANCE FRAUD
|
|
- Paulina Bradley
- 5 years ago
- Views:
Transcription
1 ENHANCED DUE DILIGENCE TO CURB INSURANCE FRAUD Paul Cochrane STATEMENT OF INTENT Driven by tightened regulatory restriction in the financial sector and boosted by the recent recession, insurance fraud is increasing worldwide. In the US, for example, it s considered the second largest economic crime after tax evasion and there has been a recent surge in reported cases in emerging economies that is cause for concern. While technology is effective in the battle against this type of fraud, it is likely that screening by itself will not offer adequate protection. It is imperative that organisations create a comprehensive compliance response to tackle this issue, of which enhanced due diligence is a key component. The views and opinions expressed in this paper are those of the authors and do not necessarily reflect the official policy or position of Thomson Reuters.
2 Enhanced Due Diligence to Curb Insurance Fraud 2 TABLE OF CONTENTS THE UP-TICK 3 GLOBAL SPREAD 3 FRAUD ACROSS ALL CLASSES 4 THE NEED FOR ENHANCED DUE DILIGENCE 4 NOT A PANACEA 4
3 Enhanced Due Diligence to Curb Insurance Fraud 3 The Association of British Insurers (ABI) estimates that 15 fraudulent insurance claims are exposed every hour of every day in the United Kingdom. In 2011, insurers uncovered 139,000 fraudulent claims worth an estimated $1.5 billion. But despite such success in detection up 7 percent on the previous year - and the sector investing some $300 million annually to prevent fraud, an estimated $3 billion in insurance fraud goes undetected. That is just in the UK. In India insurance fraud is estimated at $5.63 bn a year, in New Zealand anywhere between $1.6 bn to $6.49 bn, in Germany $5 bn, in Australia $1.94 bn, and in the United States upwards of $80 bn to $100 bn. Add on undetected fraud losses and the figures run into further billions. It would not be sensational to estimate that thousands of cases of insurance fraud are happening every hour of every day across the globe. While insurers will investigate and uncover a good percentage of fraudulent cases, many will go undetected, costing the sector and customers additional expense and higher premiums. Indeed, in the US, insurance fraud is now considered to be the second largest economic crime after tax evasion, according to the National Insurance Crime Bureau (NICB). Mature financial markets are more exposed to risks in general, and insurance is no exception. Insurance fraud figures are highest in the areas with higher insurance penetration, reflected in the global market breakdown, with Europe accounting for 35.9 percent of the global insurance market in 2011, North America 28.9 percent, and Asia 28.2 percent, according to Swiss Re in The Middle East and Central Asia by comparison accounts for 0.9 percent of global share, Africa 1.5 percent and Latin America 3.4 percent. However, while emerging markets in general have lower insurance penetration rates in the Middle East for instance it is 1.55 percent compared to the global average of 6.6 percent insurance fraud is considered to be equally on the rise. Insurance fraud is not a country or region specific phenomenon, it is truly global and projected to rise. THE UP-TICK Insurance fraud is arguably as old as the sector itself, and its pervasiveness has increased over the years, as have techniques and sophistication. The US-based Coalition Against Insurance Fraud (CAIF) defines fraud as a deliberate deception perpetrated against or by an insurance company or agent for the purpose of financial gain. However, Leonard Brimson, EMEA Regional Head of Global Investigative Services at insurer AIG, urges caution in using the term too loosely. When we talk about fraud it can be a dangerous word to use, as unless someone has been tried and convicted, it is only suspicious activity. The terminology is important, he said. What has caused an up-tick in insurance fraud and suspected insurance fraud - in recent years is the increased focus by regulators on the banking sector to curb financial crimes, notably money laundering, and this has correspondingly driven fraudsters towards the insurance sector. The rise in insurance fraud is fuelled by the tightening of bank regulations, which has made it tougher for fraudsters to get money from banks. Criminals do not change jobs, they look for organisational weaknesses and exploit them, said Anne Green, Head of Fraud for Underwriting, Pricing and Product at Aviva in the UK. But the rise in insurance fraud is not solely down to organized criminals and professional fraudsters. It is prevalent at a nationwide, cross-the-spectrum level, and is likely to be attributed to the ongoing ramifications of the 2008 financial crisis and austerity measures, certainly in Europe. For example, in the UK-based Insurance Fraud Investigators Group s (IFIG) Insurance Fraud 2012 report, the evidence suggests that the recession is already driving an increase in opportunistic claims from policyholders, with 85 percent of respondents reporting an increase in inflated or exaggerated claims [in 2012] and 76 percent reporting an increase in completely bogus claims. In three surveys carried out by IFIG in 2009, 2010 and 2012, the top concern of respondents was that the recession was fueling fraud, with another top answer: increased fraud at policy inception. A further top concern for insurers was having adequate resources to tackle fraud. Indicative of this was that 70 percent of companies have moved fraud up the agenda in the last year and 74.5 percent have increased investment in fraud detection. As Green observed: The insurance industry needs to take a strong stance against fraud, looking across the life cycle of the relationship with the customer, from the point at which the policy is sold right through to the claims process. GLOBAL SPREAD The concerns highlighted by the IFIG are being reflected by insurers, associations and financial bodies around the world. The trend (of insurance fraud) is certainly upwards, and I deal with 48 countries, said Brimson. If you compare one country with another, some policies are more prone to fraud, and in countries where insurance is less prevalent, it is typically life insurance fraud. We see a huge difference in value and volumes on a country basis. Most crimes that are common tend to be perpetuated that have been successful in the past. If we see something in one country that is profitable for fraudsters, we will see that happening in a neighbouring country and then spread across the continent. Evident of this is the rise in general claims and life insurance fraud in emerging markets. Indian insurance companies lost $5.63 bn to fraud in 2011, equivalent to an estimated 9 percent of the total insurance industry, according to a 2012 study by Indiaforensic. The life insurance segment accounted for as much as 86 percent of the fraud and the remainder in the general insurance sector, with life insurance fraud more than doubling over the past five years and general insurance fraud surging by 70 percent, according to figures by India s Insurance Regulatory and Development Authority (IRDA). According to Vietnam s Insurance Management and Supervision Department, between 2007 and 2011 over 44,700 cases of insurance fraud were reported worth $19.7 million, with the lion s share being life insurance cases at 40,700. In the Middle East, insurance fraud could be as high as 30 to 40 percent of all claims, and has been exacerbated by recent regional unrest and political transformation. There is a noticeable increase in the claims trend in our region. We are seeing more and more incidents relating to fraudulent claims
4 Enhanced Due Diligence to Curb Insurance Fraud 4 recently and are becoming more cautious about each and every claim, said Ronald Chidiac, general manager of the Arab Reinsurance Company in Lebanon. Fraud has taken on many new faces from the usual suspects. This is clearly noted in life and medical insurance where fraud exists from the initial stages of delivering the data, to managing the portfolio and the claims. The parties involved are not dealing properly with the mitigation of risk and are not getting involved in the analysis required to catch these fraudulent claims, relying on a third party to compensate them for their losses. FRAUD ACROSS ALL CLASSES The scale of insurance fraud cases can be massive. In March, 2013, federal investigators in North Carolina, USA, uncovered the country s largest ever insurance fraud crop scheme, which involved 41 people, including insurance agents, claims adjusters, brokers and farmers, and could have cost a government-backed crop insurance programme some $100 million. Such a scheme can be described as hard fraud: deliberately faked claims or of the more complex variety, involving several parties, such as insurance agents, witnesses and professional enablers like lawyers and doctors. But the vast majority of fraud can be termed soft, such as exaggerating the value of a legitimate claim and providing false information to pay lower insurance premium prices. Indeed, in the UK and the US, motor, personal injury and property insurance have experienced the greatest rise in fraudulent activities. That said, there has been a notable rise in the UK in bogus claims over the past few years, and in the US medical insurance fraud is still the biggest form of fraud, estimated at over $60 billion a year. Some areas of insurance fraud are growing more exponentially than others. The growth in bodily injuries has been quite dramatic and is a major concern for the industry. There are a few reasons for that, such as compensation culture increasing and higher value pay outs, even for minor injuries. It is not just the volume of the suspicious activity, it is the value as well, as it seems to be linked, said Brimson. With insurance fraud on the rise and diversifying as the industry offers more products and, in cases, better pay outs, there is a heightened need for carrying out due diligence to reduce the risk of fraudulent claims and losses within the sector from the outset, be they from inside a company or from policy holders. THE NEED FOR ENHANCED DUE DILIGENCE Within a month of signing up to an anti-fraud database, British insurer Ageas had identified two large fraud rings with over 100 people involved; one ring affected 26 other insurers. Technology is playing an increasing role in curbing fraud, from antifraud and identity software to databases that list sanctioned individuals, listed terrorists and criminals, to carry out enhanced due diligence (EDD). Technology and computer infrastructure is critical. It allows us to put together bodies of data, sometimes obscure, quickly. There have also been huge strides in recent years in predictive analytical possibilities, which allows us to spot anomalies very quickly, said Brimson. A risk-based approach to taking on clients requires investigating who a person or company legitimately is, and assessing what risks are involved with doing a transaction. Enhanced due diligence goes further than basic due diligence in investigating an entity more thoroughly, such as looking into an entity s background, finding out the actual ownership structure of an organization and those linked to it such as politically exposed persons (PEPs) or sanctioned individuals that carry with them heightened risk and looking into businesses with which an entity works, including government ties. EDD, also known as special due diligence, is typically carried out as a one off investigation, but can be followed up with ongoing due diligence to ensure a client will not pose potential risk down the road. Carrying out EDD when a policy is taken out means the insurer has a better understanding of the risk it takes on, said Green. In addition, it can protect the innocent customer by tackling organised crimes such as ghost broking or crash for cash scams as well as helping customers understand the importance of honesty, not just when they take out a policy but also if they need to make a claim. Ghost Broking is a common trend and is made easier in the absence of EDD. In the general absence of specific due diligence activities available to the financial and banking sector such as Know Your Customer (KYC) forms to carry out compliance the feeling in the insurance sector is largely that it would be too invasive and customers would balk at the idea of disclosing extra information EDD through investigations and utilizing appropriate software gains further credence. Would people sign up to greater scrutiny within our industry? I doubt it very much. I don t see any will of the client to provide that kind of data, unless it was mandatory. There is a need to be careful in not going too far, and close off people to insurance, said Brimson. NOT A PANACEA Adopting anti-fraud and risk intelligence software cannot be viewed as a panacea for doing effective due diligence. Indeed, when it comes to technology, not all companies are utilising it effectively, as the US-based Coalition Against Insurance Fraud found in a study published in 2012 to better understand insurer adoption and use of technology in America. The study found that while nearly 90 percent of insurers surveyed used anti-fraud technology, most only used basic tools such as automated red flags, claims scoring and link analysis. Less than half of insurers surveyed used predictive modeling, text mining, geographic data mapping and other advanced analytics, while only about 14 percent used any automated tools to detect underwriting or point-of-sale fraud. There is also the danger of technology being viewed as a solution to fraud and due diligence, and that human input is not required to the same degree as before. Indeed, in emerging markets there is a need for improvement in tackling fraud beyond just adopting anti-fraud and other technologies to get appropriate EDD. It is not an issue of software, it is an issue of culture first. Companies are looking at technology to automate the business processes and not analyse anymore, said Chidiac. It is not about simply installing a software for risk management, it is about the culture of dealing with fraud, as basic due diligence doesn t even exist in much of the Middle East. Few companies have proper internal audits or due diligence. As Chidiac observed, a culture of compliance is prevalent among multinational insurance firms and bigger players, yet often comes up short in smaller and medium sized firms, especially in emerging markets. Developing such a compliance culture
5 Enhanced Due Diligence to Curb Insurance Fraud 5 in-house is essential to curbing fraud from the get-go, which requires not only employing the right people, but making sure training is up to par, and there is regular training and development of staff. If the human element is not up to scratch, then technology cannot compensate for such shortcomings. Software that features global watch lists of sanctioned individuals, PEPs, designated terrorists and so on, also need to be used judiciously. There is a need to bring all these watch lists together in a better way as we do notice certain slip throughs, lists are not always updated, and some countries are not comprehensively covered or complete. I would say the information can be collected in a better and more efficient way, as there are clearly challenges like language issues and translations, said Mehta. That said, there are a handful of risk intelligence databases worldwide that assist companies in their compliance obligations with anti-corruption legislation like the US Foreign Corrupt Practices Act (FCPA), as well as anti-money laundering and counter terrorist financing regulations. To increase the accuracy of results, it s a good idea to choose high quality, well structured risk intelligence that offers an EDD component. Enhanced due diligence should include details like the company s shareholders and litigation history, as well as background information on management, decision makers, potential conflicts of interest, and potential political and criminal ties. Indeed, not using databases or checking watch lists in addition to not doing due diligence can pose easily avoided risks for insurers. It is amazing how few professionals care about the insurer s ability to assess the risk and apply due diligence in their everyday functions, said Chidiac. For instance, despite some sanctions imposed in the region (such as on Syria), we still find risk carriers giving support to some of these sanctioned insurers and clients. On top of introducing a culture of due diligence and compliance at insurance companies, dedicated teams need to carry on from where EDD left off. EDD will not cover opportunistic fraud, people taking advantage of a situation to exaggerate a claim, to cover excesses or make a profit from a risk event. Nor will it combat third party fraud. However, it should be noted that EDD is not the only tool employed to help tackle fraud, said Green. Indeed, the human element needs to be retained in addition to technology to counter fraud. A large part of the solution needs to be hand in glove with people as well, said Brimson. To me, I think fraud and counter fraud will always be a people business, as people commit fraud for different reasons. The global struggle against insurance fraud will clearly continue, and prevention will have a measure of success or failure in different markets and regions, depending in part on their adoption of EDD. While regions like the Middle East have a way to go, and the Asia markets are in general bringing systems up to speed to tackle rising fraud, more advanced insurance markets are moving ahead. Detection of fraud is moving in the right direction, the focus on being reactive and having counter fraud measures at the claims stage has moved on and now includes more upfront EDD and prevention methods when a policy is taken out, said Green. ABOUT THE AUTHOR Paul Cochrane is a freelance journalist based in Beirut where he has lived since He covers the Middle East and Central Asia for specialized publications, business magazines and newspapers. Mr Cochrane s work has been featured in over 70 publications, including Money Laundering Bulletin, Accountancy Futures, Commercial Crime International and Petroleum Review. Educated in the UK, Mr Cochrane earned a Master s degree in Middle Eastern Studies at the American University of Beirut. RISK MANAGEMENT SOLUTIONS FROM THOMSON REUTERS Risk Management Solutions bring together trusted regulatory, customer and pricing data, intuitive software and expert insight and services an unrivaled combination in the industry that empowers professionals and enterprises to confidently anticipate and act on risks and make smarter decisions that accelerate business performance. For more information, contact your representative or visit us online at risk.thomsonreuters.com 2015 Thomson Reuters GRC00364/8-15
Insurance Fraud Identification
Insurance Fraud Identification The UK Perspective 4 December 2013 Key contact: Michelle Reilly Client Development Manager 0151 242 6848 Michelle.reilly@weightmans.com Overview The scale of the problem
More informationINSURANCE. Forensic services. Helping to protect your business from fraud, misconduct and non-compliance ADVISORY. kpmg.com/in
INSURANCE Forensic services Helping to protect your business from fraud, misconduct and non-compliance ADVISORY kpmg.com/in The insurance industry has been growing at a fast pace in India. To differentiate
More informationRethinking the business case for anti-fraud programs in insurance
Rethinking the business case for anti-fraud programs in insurance Insurance fraud is not only widespread, it is also quite varied in terms of the forms it takes. Executive summary Historically, claims
More informationAnti-money laundering Annual report 2017/18
Anti-money laundering Annual report 2017/18 Anti-money laundering Contents 1 Introduction 4 2 Policy developments 5 3 OPBAS 7 4 How our AML supervision is evolving 8 5 Findings and outcomes 9 6 Financial
More informationThe Stark Reality of Synthetic ID Fraud How to Battle the Leading Identity Fraud Tactic in The Digital Age
The Stark Reality of Synthetic ID Fraud How to Battle the Leading Identity Fraud Tactic in The Digital Age Scoping Out Synthetic ID Fraud In the 18 years since synthetic identity fraud emerged as a significant
More informationAnnual Media Conference, 7 April 2016
Annual Media Conference, 7 April 2016 Mark Branson Chief Executive Officer Combating money laundering is a duty of every banker Ladies and gentlemen This week the world s journalistic focus has turned
More information5 Top Tips to help prevent motor insurance fraud. Ageas, the crew behind you.
5 Top Tips to help prevent motor insurance fraud It s a sad fact of life at the moment, motor insurance fraud has become part of our industry. What s worse in some ways, is that too many people believe
More informationThis course is presented in London on: March 2018, October The Banking and Corporate Finance Training Specialist
Anti Money Laundering - Financial Crime Compliance Blockchain Technology, De-Risking And Money Laundering In the Financial Services Sector - (Banks & Non Banks) This course is presented in London on: 19-20
More informationFINANCIAL CRIME GUIDE (AMENDMENT NO 3) INSTRUMENT 2015
FINANCIAL CRIME GUIDE (AMENDMENT NO 3) INSTRUMENT 2015 Powers exercised A. The Financial Conduct Authority makes this instrument in the exercise of its powers under: (1) section 139A (Guidance) of the
More informationAnti Money Laundering - Financial Crime Compliance
Anti Money Laundering - Financial Crime Compliance Blockchain Technology, De-Risking And Money Laundering In the Financial Services Sector (Banks & Non Banks) This course is presented in London on: 11-12
More informationAnti Money Laundering - Financial Crime Compliance
Anti Money Laundering - Financial Crime Compliance Blockchain Technology, De-Risking And Money Laundering In the Financial Services Sector - (Banks & Non Banks) This course is presented in London on: 30-31
More informationThe Rising Cost of Insurance Fraud. Clive Nicholls Senior Vice President Global Markets
The Rising Cost of Insurance Fraud Clive Nicholls Senior Vice President Global Markets Insurance Fraud The Association of British Insurers estimate that: Insurance Fraud Costs the industry in excess of
More informationIncrease Effectiveness in Combating VAT Carousels
Increase Effectiveness in Combating VAT Carousels Detect, Prevent and Manage WHITE PAPER SAS White Paper Contents Overview....1 The Challenges...1 Capabilities...2 Scoring...3 Alert and Case Management....3
More informationBusting Fraud Rings with. Social Link Analysis
Busting Fraud Rings with Social Link Analysis Table of Contents INTRODUCTION... 1 WHAT IS BUST-OUT FRAUD AND WHY IS IT SO HARD TO DETECT?... 2 SOCIAL LINK ANALYSIS (SLA): A POWERFUL NEW WEAPON... 3 HOW
More informationInsurance fraud Problem definition and overview of approaches across Europe
Insurance fraud Problem definition and overview of approaches across Europe XIII International Conference about Insurance Crime 11 March 2010 Sandrine Noël Head of Non-life insurance The CEA Fraud problem
More informationPredictive Claims Processing
Predictive s Processing Transforming the Insurance s Life Cycle Using Analytics WHITE PAPER SAS White Paper Table of Contents Introduction.... 1 Fraud Management.... 2 Recovery Optimization.... 3 Settlement
More informationBanking Title Application Fraud: The Enemy at the Gates
WHITE PAPER Banking Title Application Fraud: The Enemy at the Gates It is a fraud to borrow what we are unable to pay. Publilius Syrus, first century B.C. ii Contents Overview... 1 What Is Application
More informationEmerging trends in global financial crime prevention and anti money laundering
Emerging trends in global financial crime prevention and anti money laundering Four key takeaways from the recent ACAMS conference in London Introduction The 13th Annual ACAMS European conference was held
More informationAnti-money laundering thoughts from an AML/CFT supervisor
Anti-money laundering thoughts from an AML/CFT supervisor A speech delivered to the ACAMS 1 and FIU 2 Anti-Money Laundering and Countering Financing of Terrorism Seminar 2013 in Wellington On 20 June 2013
More informationWHITE PAPER. The Evolution of Fraud in the Insurance Industry
WHITE PAPER The Evolution of Fraud in the Insurance Industry Introduction The insurance industry is certainly no stranger to online fraud, whether it s being directed at insurers or the consumers they
More informationIMX WHITE PAPER. Implementing an Anti-Money Laundering System Is it Worth It?
Implementing an Anti-Money Laundering System Is it Worth It? Financial intelligence units around the world and the regulators responsible for implementing the new anti-money laundering regimes are quick
More informationThe Economy and Fraud Fighting on the State Level
Fighting on the State Level An interim survey conducted of state insurance fraud bureaus Introduction The Coalition Against Insurance Fraud conducts a statistical study of state insurance fraud bureaus
More informationVIEW POINT. Big data analytics: New whistleblower on insurance fraud
VIEW POINT Big data analytics: New whistleblower on insurance fraud Sachin Pandhare As fraudsters get smarter and use technology advancements to their benefit, insurance companies face greater difficulties
More informationInsights. Peace of mind. We explore the key issues you need to know about and navigate to become both sanctions and AML compliant
Peace of mind We explore the key issues you need to know about and navigate to become both sanctions and AML compliant Insights a product from corfinancial. london boston new york Sanctions & Anti-Money
More informationThe Misuse and Smuggling of Hydrocarbon Oils
HM Customs and Excise: The Misuse and Smuggling of Hydrocarbon Oils REPORT BY THE COMPTROLLER AND AUDITOR GENERAL HC 614 Session 2001-2002: 15 February 2002 LONDON: The Stationery Office 0.00 Ordered by
More informationCORRUPTION. A Reference Guide and Information Note. on the use of the FATF Recommendations. to support the fight against Corruption
FINANCIAL ACTION TASK FORCE CORRUPTION A Reference Guide and Information Note on the use of the FATF Recommendations to support the fight against Corruption The Financial Action Task Force (FATF) is the
More informationIntroduction to AML/CFT in New Zealand
Introduction to AML/CFT in New Zealand What You Will Learn This will give you a very quick overview of what AML/CFT is, how it impacts Cryptopia, and introduces you to the concepts you ll be hearing a
More informationprotecting yourself Money Management SESSION #6
Money Management SESSION #6 protecting yourself The Money Management sessions have been developed for the HSBC Opportunity Partnership in collaboration with Catch22, St Giles Trust, The Prince's Trust,
More informationThe Risk of Economic Crime
The Risk of Economic Crime 0 ACFE European Fraud Conference London, March 7, 0 GROUP SECURITY HERE TO PROTECT OUR WORLD Torsten Wolf Group Head of Crime and Fraud Prevention Agenda Introduction Economic
More informationWhite Paper. Banking Application Fraud: The Enemy at the Gates. It is a fraud to borrow what we are unable to pay. Publilius Syrus, first century B.C.
White Paper Banking Application Fraud: The Enemy at the Gates It is a fraud to borrow what we are unable to pay. Publilius Syrus, first century B.C. Contents Overview... 1 What Is Application Fraud?...
More informationACE European Risk Briefing 2012
#4 ACE European Risk Briefing 2012 Business travel risk respondent profiles The research was carried out between 13 April and 3 May 2012. The sample comprised 606 European risk managers, CROs, CFOs, COOs
More informationPayroll Agents Sector Specific AML/CFT Guidance Notes December 2015
Payroll Agents Sector Specific AML/CFT Guidance Notes December 2015 Whilst this publication has been prepared by the Financial Services Authority, it is not a legal document and should not be relied upon
More informationADDRESSING ILLICIT FINANCIAL FLOWS AND CAPITAL FLIGHT IN THE MENA
1 ADDRESSING ILLICIT FINANCIAL FLOWS AND CAPITAL FLIGHT IN THE MENA BY PAUL COCHRANE SUMMARY: ILLICIT FINANCIAL FLOWS FROM THE MIDDLE EAST AND NORTH AFRICA (MENA) HAVE SIGNIFICANTLY INCREASED OVER THE
More informationAnti-Money Laundering and Counter Terrorism
1 Anti-Money Laundering and Counter Terrorism 1. INTRODUCTION SimpleFX Ltd. ( The Company ) aims to prevent, detect and not knowingly facilitate money laundering and terrorism financing activities. The
More informationWHY CFCS. Arc of Financial Crime
CFCS Q&A ABOUT ACFCS ACFCS is a leading provider of practical tools and knowledge to help professionals improve results in financial crime detection and prevention. Through membership, live and online
More informationYield and. Protection. Anti-Fraud. Uncover insights you never thought were possible.
Home Home Yield and Anti-Fraud Protection Uncover insights you never thought were possible. Tax and welfare agencies worldwide strive to increase compliance, prevent improper payments and reduce errors.
More informationTRUST COMPANY BUSINESS
TRUST COMPANY BUSINESS ON-SITE EXAMINATION PROGRAMME 2011 SUMMARY FINDINGS DOCUMENT OVERVIEW 1 Introduction... 2 2 Scope... 2 3 Process... 3 4 Overview... 3 5 Findings Arising From Examinations... 5 Corporate
More informationRapid returns for the insurance industry with Atos Fraud & Claims Management
Fraud & Claims Management Rapid returns for the insurance industry with Atos Fraud & Claims Management Trusted partner for your Digital Journey The state of play Insurers are being squeezed from every
More informationFraud & Financial Services
Fraud & Financial Services Understanding the 2017 Criminal Finances Bill This course can be presented in-house for you on a date of your choosing The Banking and Corporate Finance Training Specialist Course
More informationAnti-Money Laundering Awareness Training Insurance Industry-Hong Kong
Anti-Money Laundering Awareness Training Overview This program is intended to give individuals working in the Hong Kong Insurance Industry a basic knowledge of money laundering and terrorism financing,
More informationANTI-MONEY LAUNDERING PROCESS MATURITY
ANTI-MONEY LAUNDERING PROCESS MATURITY NEPAL BANKING INDUSTRY Survey Report 2017 Survey Partner AML PROCESS MATURITY - NEPAL BANKING INDUSTRY Survey Report 2017 Anti-Money Laundering (AML) and Combating
More informationSTEP CERTIFICATE IN ANTI-MONEY LAUNDERING. Syllabus
STEP CERTIFICATE IN ANTI-MONEY LAUNDERING Syllabus In collaboration with Delivered by INTRODUCTION This document contains the detailed syllabus for the. This syllabus should be read in conjunction with
More informationENTERPRISE RISK AND STRATEGIC DECISION MAKING: COMPLEX INTER-RELATIONSHIPS
ENTERPRISE RISK AND STRATEGIC DECISION MAKING: COMPLEX INTER-RELATIONSHIPS By Mark Laycock The views and opinions expressed in this paper are those of the authors and do not necessarily reflect the official
More informationMoney Laundering and Terrorist Financing Risks in the E-Money Sector
Money Laundering and Terrorist Financing Risks in the E-Money Sector Thematic Review TR18/3 October 2018 TR18/3 Contents 1 Introduction 3 2 Overview 5 3 Findings 7 Annex 1 Glossary 16 How to navigate this
More informationProperty & Casualty Insurance: Fighting Fraud Through Location Analytics
Property & Casualty Insurance: Fighting Fraud Through Location Analytics A WHITEPAPER BY CANADIAN UNDERWRITER Sponsored by: Written by Canadian Underwriter Sponsored by DMTI Spatial EXECUTIVE SUMMARY Contents
More informationglobal economic crime survey 2005
global economic crime survey 2005 Introduction Rodney Hay, Dispute Analysis and Investigations I am pleased to present the n results of the third biennial PricewaterhouseCoopers Economic Crime Survey.
More informationAs our brand migration will be gradual, you will see traces of our past through documentation, videos, and digital platforms.
We are now Refinitiv, formerly the Financial and Risk business of Thomson Reuters. We ve set a bold course for the future both ours and yours and are introducing our new brand to the world. As our brand
More informationSUMMARY Seychelles National Risk Assessment Report for Money Laundering & Terrorist Financing 2017
SUMMARY Seychelles National Risk Assessment Report for Money Laundering & Terrorist Financing 2017 Introduction The National Risk Assessment (NRA) is a process of identifying and evaluating the Money Laundering
More informationEmbedding resilience Anti-bribery and corruption briefing
December 2016 Embedding resilience Anti-bribery and corruption briefing Anti-bribery and corruption briefing 2016 Overview The risks posed by bribery and corruption have never been higher. Recent legal
More informationANTI-MONEY LAUNDERING AND COUNTER-TERRORIST FINANCING POLICY AND PRINCIPLES
ANTI-MONEY LAUNDERING AND COUNTER-TERRORIST FINANCING POLICY AND PRINCIPLES ÍNDICE I. PREAMBLE II. LEGISLATIVE FRAMEWORK Domestic Internacional III. ANTI-MONEY LAUNDERING AND COUNTER-TERRORIST FINANCING
More informationPrivacy Policy. HDI Global SE - UK
Privacy Policy HDI Global SE - UK Privacy Policy Your privacy is very important to us. We promise to respect and protect your personal information and try to make sure that your details are accurate and
More informationWILLIAM I. ESKIN, CPA. Presentation to : Southeastern Accounting Show FINANCIAL STATEMENT ANALYSIS/FRAUD. August 18, 2011.
WILLIAM I. ESKIN, CPA Presentation to : Southeastern Accounting Show FINANCIAL STATEMENT ANALYSIS/FRAUD August 18, 2011 Introduction What is Fraud? SAS No. 99 defines fraud as: an intentional act that
More informationAC NOTE FICA. What FICA governs and requires
AC NOTE FICA What FICA governs and requires In the past decade South Africa enacted various laws aimed at combating money laundering. The mainly criminal legislation was recently supplemented by the Financial
More informationWhite Paper. Lifting the Veil Why Understanding Beneficial Ownership Is Now Essential for AML Compliance
White Paper Lifting the Veil Why Understanding Beneficial Ownership Is Now Essential for AML Compliance Fiserv White Paper Lifting the Veil Why Understanding Beneficial Ownership Is Now Essential for AML
More informationSharp increase of reported economic crime in Singapore The rise is consistent with the global trend
PwC s Global Economic Crime and Fraud Survey 2018 Singapore Edition Sharp increase of reported economic crime in Singapore The rise is consistent with the global trend pwc.to/2ilog0i Key highlights 35%
More informationgamevy Anti- Money Laundering Detecting and Preventing Financial Crime Training for Gamevy
gamevy Anti- Money Laundering Detecting and Preventing Financial Crime Training for Gamevy Introduction This document is Gamevy s training on anti- money laundering regulations within the context of our
More informationBank Secrecy Act (BSA)/Anti-Money Laundering (AML) Employee & Agent Training
Bank Secrecy Act (BSA)/Anti-Money Laundering (AML) Employee & Agent Training OVERVIEW The Bank Secrecy Act, or BSA, was passed by congress in 1970. The BSA required banks to maintain records of certain
More informationWhy IoT Could Make or Break the Insurance Industry
Why IoT Could Make or Break the Insurance Industry Insurance Insights Tom Saminaden, Insurance Solutions Consultant, BAE Systems Insurance and the Internet of Things 2 // 6 The Internet of Things (IoT)
More informationAnti-money laundering and countering the financing of terrorism the Reserve Bank s responsibilities and approach
Anti-money laundering and countering the financing of terrorism the Reserve Bank s responsibilities and approach Hamish Armstrong Taking action to reduce money laundering and the financing of terrorism
More informationAGA Risk and Fraud Webinar
AGA Risk and Fraud Webinar February 22, 2017 Let s Begin with the Basics 5% of revenues lost to fraud every year Median fraud duration from start to detection is 18 months Small organizations tend to suffer
More informationred24 Special Risks - Kidnap for Ransom and Extortion Mitigation
red24 Special Risks - Kidnap for Ransom and Extortion Mitigation Table of Contents Special Risks...3 Operational Footprint...4 The Special Risks Team...4 Crisis Response Management (CRM) Centre...4 Extended
More informationFinancial Crime Governance, Risk and Compliance Fund Managers & Fund Administrators. Thematic Review 2017
Financial Crime Governance, Risk and Compliance Fund Managers & Fund Administrators Thematic Review 2017 Foreword During late 2016 a thematic review of fund managers and fund administrators governance,
More informationTHEMED EXAMINATION PROGRAMME 2011: ANTI-MONEY LAUNDERING AND COMBATING THE FINANCING OF TERRORISM
THEMED EXAMINATION PROGRAMME 2011: ANTI-MONEY LAUNDERING AND COMBATING THE FINANCING OF TERRORISM SUMMARY FINDINGS DOCUMENT OVERVIEW 1 Introduction 1 2 Scope 1 3 Preliminary Observations 2 4 Major areas
More informationGUIDANCE NOTE ON DETERING, PREVENTING, DETECTING, REPORTING AND REMEDYING INSURANCE FRAUD
GUERNSEY FINANCIAL SERVICES COMMISSION GUIDANCE NOTE ON DETERING, PREVENTING, DETECTING, REPORTING AND REMEDYING INSURANCE FRAUD Introduction Fraud is a serious risk to the insurance sector and can have
More informationFRAUD TRENDS & DEVELOPMENTS. CII Regional Market Forum June Andrew London Associate
FRAUD TRENDS & DEVELOPMENTS CII Regional Market Forum June 2014 Andrew London Associate Agenda I Extent of the Problem: Some facts & figures II Industry initiatives III Fraud trends / challenges IV Courts
More information2007 global economic crime survey
Investigations and Forensic Services 2007 global economic crime survey Introduction We are pleased to present PricewaterhouseCoopers 2007 Global Economic Crime survey:. While the Global survey is based
More informationAPPENDIX 2 CORPORATE ANTI-FRAUD AND CORRUPTION STRATEGY
APPENDIX 2 CORPORATE ANTI-FRAUD AND CORRUPTION STRATEGY January 2017 CONTENTS Section Page 1 Introduction 3 2 Definition of Fraud 3 3 Standards 4 4 Corporate Framework and Culture 4 5 Roles and Responsibilities
More informationMANAGE RISK WORLDWIDE
MANAGE RISK WORLDWIDE Zurich International Programs Corporate customers At Zurich, we re proud of our ability to help protect businesses that operate internationally. For nearly 40 years, we have built
More informationThe Realities of the New UK Bribery Act
The Realities of the New UK Bribery Act The act is designed to prevent corruption and encourage a culture of honesty. But many managers still will break the law to cinch a deal. By John Higgins Senior
More informationGovernance Frameworks to Counter Illicit Trade. Executive Summary
Governance Frameworks to Counter Illicit Trade Executive Summary Executive Summary Transnational criminal networks profit from trafficking and illegal trade in narcotics, arms, persons, tobacco, counterfeit
More informationGuidelines for Anti-Money Laundering and Combating the Financing of Terrorism
[Provisional Translation] The original texts of the Guidelines are prepared in Japanese, and this translation is only provisional. The translation is to be used solely as reference material to aid the
More informationKnowing your customer
Knowing your customer IN A GLOBAL WORLD The basics of Australia s AML/CTF regime For accountants, conveyancers, lawyers, real estate agents and other business professionals. An increasing threat Anti-Money
More informationAML & KYC. The Crime Prevention Compliance Course. This course can be presented in-house for you on a date of your choosing
AML & KYC The Crime Prevention Compliance Course This course can be presented in-house for you on a date of your choosing The Banking and Corporate Finance Training Specialist Course Overview Financial
More informationAssessment of money laundering and terrorist financing risks in the Principality of Liechtenstein
Assessment of money laundering and terrorist financing risks in the Principality of Liechtenstein National Risk Assessment (NRA) Summary (for publication) July 2018 The first step in the risk management
More informationABI response to ICO consultation on GDPR consent guidance
1 31 March 2017 ABI response to ICO consultation on GDPR consent guidance About the ABI: The Association of British Insurers (ABI) is the leading trade association for insurers and providers of long-term
More informationSummary Data Protection Notice
Summary Data Protection Notice May 2018 page 1 At Liberty Insurance, we take your privacy seriously and we aim to be clear about how we use Personal Data* relating to you. This summary document gives you
More informationImplementing Analytics for Claims Fraud Title Investigation
CONCLUSIONS PAPER Implementing Analytics for Claims Fraud Title Investigation Considerations, change management and new capabilities for insurance company SIUs ii Contents It s a victimless crime, right?...
More informationGlobal Policy on Anti-Bribery and Anti-Corruption
1 Global Policy on Anti-Bribery and Anti-Corruption OUR GLOBAL POLICY ON ANTI-BRIBERY AND ANTI-CORRUPTION Did You know?? PolyOne is committed to the prevention, deterrence and detection of fraud, bribery
More informationMoney Laundering in the Trinidad & Tobago Securities Sector
Money Laundering in the Trinidad & Tobago Securities Sector J A N U A R Y 7, 2 0 1 5 M A R K E T S E S S I O N - A M L - C F T - T H E M O N E Y, T H E L A W A N D Y O U T R I N I D A D H I L T O N H O
More informationInsurance Fraud Enforcement Department. Referral guide
Insurance Fraud Enforcement Department Referral guide Published 1 April 2016. Version 1.0. Foreword The Insurance Fraud Enforcement Department (IFED) is a specialist police unit which was established in
More informationIn developing this product AML Accelerate draws on unique and unparalleled knowledge and experience contained within the joint venture partners.
Improving New Zealand s ability to tackle ML/FT We would like to thank the New Zealand Ministry of Justice for the opportunity to provide input into this important consultation on how to improve New Zealand
More informationADVISORY. Forensic services. Assisting Legal Practitioners. kpmg.com/in
ADVISORY Assisting Legal Practitioners kpmg.com/in As the complexity of business arrangements increases manifold, the role of legal counsels and practioners develops into strategic business managers advising
More informationIDAnalytics Comply360. Improving operational efficiencies and regulatory compliance in the customer onboarding process
Improving operational efficiencies and regulatory compliance in the customer onboarding process August, 2012 Introduction The regulatory landscape today It is no secret that financial organizations are
More informationTax Digitalization: Latin America leads the change
Tax Digitalization: Latin America leads the change KPMG International kpmg.com/gcms When it comes to the digital evolution of tax compliance process, Latin American countries are blazing the path forward.
More informationPreamble. The purpose of this Policy is to protect NIB s reputation and promote a transparent business practice.
Integrity Due Diligence Policy Approved by the Board of Directors on 8 March 2018 with entry into force on 1 May 2018 Preamble NIB follows international standards and good practices regarding know-your-customer
More informationFighting economic crime
Fighting economic crime A manifesto OCTOBER 2016 2016 CCAB Ltd All rights reserved. If you want to reproduce or distribute any of the material in this publication you should obtain CCAB s permission in
More informationCircle Markets AML & KYC
Circle Markets AML & KYC 2018 AML & KYC POLICY Circle Markets VU Limited (we/us/the Company) is committed to the highest standards of the Anti-Money Laundering (AML) compliance and Anti-Terrorist Financing
More informationRegistry General September 2015
Registry General September 2015 1 Charities Compliance Officer Training Topics What is FATF? How FATF relates to charities Guidance Notes on the Charities (Anti-Money Laundering, Anti-Terrorist Financing
More informationAn overview of the fraud threat to business, including the particular threat posed by electronic funds transfer fraud
An overview of the fraud threat to business, including the particular threat posed by electronic funds transfer fraud Every business is susceptible to fraud But some are more susceptible than others. That
More informationConducting KYC of Third Parties: Best Practices for Conducting Due Diligence
Conducting KYC of Third Parties: Best Practices for Conducting Due Diligence Risk-Based Due Diligence of Third Parties Shaswat Das Hunton Andrews Kurth LLP April 2018 Why Conduct Third Party Due Diligence?
More informationThe A&A Group Ltd Commercial Vehicle Insurance Personal Accident Plan Policy Summary Insurer Period of Cover Policy Features & Benefits
The A&A Group Ltd Commercial Vehicle Insurance Personal Accident Plan Policy Summary This Policy Summary gives brief details of the Benefits and cover that are available as part of Your Commercial Vehicle
More informationGuidelines on Anti-Money Laundering and Countering Financing of Terrorism
Guidelines on Anti-Money Laundering and Countering Financing of Terrorism Prudential Supervision Department Document Issued: 1. Introduction (1) This document sets out guidelines issued under section 78(3)
More informationPrivacy Notice. Our Hastings Direct SmartMiles policy has a separate privacy notice which can be found here.
Privacy Notice Introduction Your privacy s important to us and we go to great lengths to protect it. This privacy notice tells you about the personal data we hold about you, so we can provide you with
More informationCybersecurity Insurance: New Risks and New Challenges
SESSION ID: SDS1-F01 Cybersecurity Insurance: New Risks and New Challenges Mark Weatherford Chief Cybersecurity Strategist varmour @marktw The cybersecurity market in the Asia Pacific region contributes
More informationANTI-MONEY LAUNDERING IN
ANTI-MONEY LAUNDERING IN THE ACQUIRING INDUSTRY Presented by Laura H. Goldzung, CAMS, CCFE, CFCF, CCRP AML Audit Services, LLC March 8, 2016 AGENDA AML Regulatory Overview OFAC Regulatory Overview AML
More informationCONTINENTAL REINSURANCE ( C Re ) ANTI-MONEY LAUDERING/COUNTERING THE FINANCING OF TERRORISM (AML/CFT) POLICY
CONTINENTAL REINSURANCE ( C Re ) ANTI-MONEY LAUDERING/COUNTERING THE FINANCING OF TERRORISM (AML/CFT) POLICY (Approved by the Board of Directors on March 5, 2014) 1 1. Introduction The C Re group is cognizant
More informationWebinar 01: AML/CFT Requirements Overview. 4 th July 2018
Webinar 01: AML/CFT Requirements Overview 4 th July 2018 About Your Presenter Neil has a unique background in financial crime risk management, spanning 25 years. This includes working within Law Enforcement
More informationFIGHTING AGAINST CRIME IN A DIGITAL WORLD DAVID HARTLEY DIRECTOR, SAS FRAUD & FINANCIAL CRIME BUSINESS UNIT
FIGHTING AGAINST CRIME IN A DIGITAL WORLD DAVID HARTLEY DIRECTOR, SAS FRAUD & FINANCIAL CRIME BUSINESS UNIT AGENDA Fraudsters love digital Fighting back Social Network Analysis BACKGROUND THE DIGITAL BUSINESS
More informationPolicy on Anti Money Laundering and Countering Terrorist Financing
Policy on Anti Money Laundering and Countering Terrorist Financing Adopted by Date of adoption Applies for Group Framework Owner Distribution Language version Information class Basis the Board 22 June
More informationIBM Financial Crimes Insight for Insurance
IBM Financial Crimes Insight for Insurance Highlights Improve outcomes and reduce cost of counterfraud efforts Optimize assets for efficient and effective fraud management Quickly distinguish fraudsters
More information