Social Media & Workers’ Comp Fraud
It’s pretty black and white: if you’re an employer in California, you are required to provide workers’ compensation benefits to your employees. As an agent, I’ve seen more than my fair share of fraud stories. According to the National Insurance Crime Bureau, workers’ compensation fraud costs California between $1 billion to $3 billion per year.
It only takes one employee with a wild idea that this could be their chance to cash in on some extra money.
In the age of social media, we’re seeing more and more fraud cases brought forward due to the spotlight that social media shines on these claims. Now more than ever, videos and photos posted to social media outlets like Facebook or YouTube can catch claimants in a lie. Insurance fraud investigators now have a wealth of evidence at their fingertips but these investigations need to be conducted quickly and ethically.
If a claim seems suspicious, an adjuster or claims investigator can utilize social media to see if there are photos or videos of the injured worker performing tasks or activities their claim says they can’t do. Alibis can be confirmed or proven wrong through the metadata in photos that provide the location and date the photo was taken.
A well-trained adjuster or claims fraud investigator will always do their research because that one key piece of evidence could be the difference between a $1,000 claim and a $100,000 claim. The age of over-sharing on social media is catching up to these fraudsters.
More than social media, business can and should still rely on quality video surveillance. It has long been the go-to option for many operations. When cameras are set up throughout the business and the property, dishonest claimants can still be caught.
Remember, honesty is always the best policy. You can’t keep the façade up forever!
If you want to learn more about how to protect you and your business from workers’ comp fraud, contact me at firstname.lastname@example.org.