A Potential Wave of False Claims are Coming to Employers and Insurance Companies – What You Need to Consider

March 31, 2020

During times of economic uncertainty, individuals will often look for other ways to generate new income as well as methods to shed expenses.

From 2008 to 2010, there was a wave of claims that impacted employers and insurance companies. False claims were seen as a lifeline, and individuals justified it to protect themselves.

The following are likely to be impacted as a result of the current pandemic:

Benefit Claims

  • Workers compensation
  • Sickness, accident and long-term disability

Often these benefit claims pay more than the programs being offered by the government.

You may see a rise in claims for the following reasons:

  • Impending downsizing and restructuring
  • Reinstating previous claims
  • Workplace claims – for those working at home

Theft of High-Value Items and Cargo

  • Copper, stainless steel, wiring, and cables
  • Theft of cargo – medical equipment, hospital supplies, food, alcohol (any load which can be sold quickly for cash)
  • Tools, construction equipment and materials – from construction sites

Ensure loads are secured in fenced yards. Do not pre-load trailers where possible. High-value shipments may require escorts to ensure they are not targeted on-route. You may need additional third-party investigative support to deal with the influx.


  • Small or troubled businesses may have to shed assets to stay afloat
  • Business interruption insurance will not provide enough coverage
  • As a result, you may see an increase in:
    • Stage crashes
    • Inventory thefts
    • Bloated claims
    • Damage claims
    • Fires/flooding


  • Individuals are carrying a record level of household debt
  • In good times people tend to purchase luxury items
    • Boats
    • Coats
    • RVs
    • Jewelry and electronics

Thefts, mysterious losses, and fires are the most common method of shedding assets.

What Can be Done?

  • Social Media and Online Investigations
    • Items for sale
    • Photos – activities
    • Accident
  • Surveillance
    • Many individuals will still go out
      • Shopping
      • Yard work
      • Gardening
      • Exercising outdoors
    • Some individuals have chosen to ignore isolation orders. You may need to monitor those who are to be quarantined
  • Third-Party Investigations
    • Statements and interviews
    • Although not ideal – video and online platforms are being used where social distancing is required
  • Cargo Security and Escorts
    • Yards – security and monitoring
    • Cargo on route – escorts
    • GPS tracking
    • Remember – law enforcement will be focused on other priorities

If you wish to learn more, please email jrovers@afimaccan.com.

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