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Zurich cracks down on motor fraudsters with new UK-wide fraud initiative

Zurich has announced it's piloting a new initiative intended to expand its current work on reducing motor claims fraud. Zurich has set-up additional bespoke, motor claims investigation teams whose sole purpose will be the detection and investigation of motor claims fraud.  The initiative will enable existing claims teams to focus on delivering good quality claims service and it will also generate significant cost savings to the business.

This exercise is intended to broaden the insurer's current claims investigation activities in this area and introduce one consistent approach across all motor claims teams in the UK.  The pilot is geared up to handle issues such as staged accidents as well as more opportunistic types of motor claims fraud. It will also create a team of motor fraud specialists amongst existing teams, who will focus 100% of their time on eliminating fraud, as opposed to juggling fraud detection with their day-to-day claims handling responsibilities.

Techniques used by the new teams will revolve largely around existing proven methods, including field and desk-top investigations, cognitive interview techniques, links with intelligence sources/ specialist external partners.  A system of fraud indicators will help the identification and referral of suspected fraud claims to the relevant motor claims investigation representative.

Those taking up new roles in the team have been through intensive training programs to supplement their previous fraud training as motor claims handlers.  This has been complemented by wide-scale fraud awareness training amongst the claims teams to help them identify the tell-tale signs of a suspected fraud claim. Industry databases are also being used to help investigate previous claims experience and incidences of fraudulent claims activity.

Scott Clayton, Claims Fraud and Investigations Manager said "The main objective of this scheme is to ensure we enable the teams to focus solely on the elimination of fraud.  The Insurance Fraud Bureau (IFB) findings show that approximately 22,500 staged and induced motor accidents have taken place across the country since 1999 - this figure has increased year-on-year during that period.  These findings also report that fraudsters can make approximately £30k for each successful scam - a very lucrative sum.

Tony Emms, Motor Claims Director at Zurich said "By making it more difficult for individuals to commit fraud, we hope these new teams will act as a deterrent to 'would-be' criminals and reduce the extra 5% premium paid charged to honest customers to meet the cost of fraudulent claims."
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In January 2010 the course fees were increased to reflect the true value of the Level 4 Qualification. The increase is reflected in the following changes;

Increased course content, covering more disciplines.

Increase in lecturer/candidate feedback and support from an average of 2 hours per candidate to 8 hours per candidate.

Additional learner support from the awarding body with registration and certification.

Increase in VAT.

In order to absorb some of the increase in fees, A.L.M introduced the half & half payment option for new candidates.

This is the only qualification of it's kind in the UK and A.L.M Training Ltd are currently the only accredited training provider in the UK to be able to deliver the Certificate in Incident, Fraud & Claims Investigation.

 

TA_Afghan Picture By Chris North, Left To Right, Dean Hyde, Philip Lay, Nigel McIlWaine

Managing Director of A.L.M Training Ltd Dean Hyde, was recently invited to join a delegation of employers to visit reservists working alongside regular forces in Afghanistan.

A.L.M Training has a contract with the Army to train Master Drivers in road traffic collision investigation. As part of this process a WO1 Darren Knight attended the training and on retirement from the regular forces joined A.L.M as a lecturer.

Darren Knight maintained his associations with the Army by joining the TA as a Captain and as a result of A.L.M’s support for Darren and his mobilisation as a member of the TA, Dean Hyde was invited to Afghanistan by SaBRE.

Dean visited Kandahar, Camp Bastion in Helmand Province and Kabul, where he got an opportunity to meet with reserve forces training the Afghan National Army.

You can view details of the trip in a report from Richard Tyler a reporter with the Daily Telegraph by clicking on the following link

ALM Training Ltd provides the investigation training, Investigators Network UK Ltd (INUK) provides the technical support for investigators, once qualified. Lawyers Support Services Ltd provides work for qualified agents in the Legal Services Sector and Insurance Support Services Ltd providing work for qualified investigators in the fraud & insurance claims investigation field.


People from all walks of life, who now wish to enter this industry can do so through our own in house training programmes, which are industry recognised programmes accredited nationally. Subsequently on successful  completion of our courses, agents being offered work through either of our own in house agencies and industry partners.

Dean_Hyde

Dean Hyde Dip SC MAIRSO MSEW

Managing Director      A.L.M Training Ltd

We do not recruit individuals who have been trained elsewhere as we are currently the only provider nationally of industry recognised qualifications and we cannot therefore guarantee the quality of agents trained through other organisations offering non-industry qualifications.

Membership of INUK is restricted to agents who have passed the ALM Training course only.

 


People from all walks of life, who now wish to enter this industry can do so through our own in house training programmes, which are industry       recognised programmes accredited nationally. Subsequently on successful  completion of our courses, agents being offered work through either of our own in house agencies and industry partners.

Possible crackdown ahead for third-party capture

The FSA is working with the ABI and other trade bodies to establish a course of action over the practice of insurers contacting victims of accidents directly, known as third-party capture.

The FSA is worried that this practice, designed to keep lawyers out of the claims process and to keep costs down, puts consumers at risk.

It has completed a risk assessment, started in late 2007, and is now working with trade bodies including the ABI on the next step.

In answer to a parliamentary question on 27 October, Exchequer secretary Sarah McCarthy-Fry said: "The FSA has carried out exploratory work on the issue of third-party capture in the insurance industry to assess the nature of the practice and the level of risk to consumers.

“It is currently liaising with the relevant trade bodies to agree what action can be taken by the industry to mitigate the risks to consumers.

“The FSA will then consider what further actions, if any, are required to address any residual consumer risk attached to the practice.”

The ABI declined to comment.


School trips - Glenridding Beck

Ten year old Max Palmer[1] drowned while ‘plunge pooling’ during a school trip to Cumbria in May 2002. Like most accidents, this tragedy could have been avoided if the risks had been properly managed.

This website is about learning lessons. It is aimed at anyone connected with educational visits, particularly those involving adventure activities. As well as reporting on the tragic ‘plunge pooling’ incident and the lessons learned, the site provides a range of information including a section on ‘Getting it Right' and various useful links.

The overwhelming majority of educational visits are carried out safely and responsibly by teachers who take the time and effort to get things right. The benefits of such trips to pupils can be immense.

Exposure to well managed risks helps children learn important life skills, including how to manage risks for themselves.The Learning Outside the Classroom Manifesto aims to ensure that all young people have a variety of high quality learning experiences outside the classroom environment.

Fatal scaffold collapse prompts £126,000 fine

Two construction firms involved in a major scaffolding collapse at Milton Keynes have today been ordered to pay £126,000 for their role in the incident which left one man dead and two others seriously injured.

John Robinson, and his son Mark, were working on the Jury's Inn site in Witan Gate, Milton Keynes on April 11 2006, alongside Ivan Penkov. All three men were on the 40-metre-high scaffolding when it collapsed.

They fell to the ground and were trapped under rubble until rescue workers could reach them.

Father of three, John Robinson, 49, was taken to hospital suffering from serious injuries to his left leg. Three days later he died from a pulmonary embolism, as a result of the damage to his leg.

John's son Mark Robinson suffered a punctured lung, broken vertebra and ribs and significant cuts and bruising in the fall. He was unable to work for a period after the incident.

Ivan Penkov suffered serious fractures to his legs and arms and spent a month in hospital recovering. He has undergone a number of operations and has had to re-train as a draftsman.

In Huntingdon Crown Court today, the principal contractor on the Jury's Inn site, McAleer & Rushe Limited of Cookstown, N.Ireland was fined £90,000 and ordered to pay costs of £42,000. The cladder on the site, Lee Smith Carpentry Limited of Romsey, Hampshire was fined £36,000 and ordered to pay costs of £28,000.

The court heard that a combination of failures led to the scaffolding collapse. The scaffolding was not strong or stable enough for the work being carried out. Inspection of the scaffold was also inadequate, despite specific instructions from HSE and McAleer's health and safety manager.

HSE Principal Inspector Stephen Hartley said:

"John Robinson lost his life in this incident and two others have had their lives changed forever as a result. It's a wonder that more people weren't hurt.

"It is totally unacceptable for companies to disregard the safety of their workers. If the scaffolding had been designed, erected and managed properly, this incident would never have happened."

McAleer & Rushe Limited had earlier pleaded guilty to breaching section 2(1) and 3(1) of the Health and Safety At Work etc Act 1974. Lee Smith Carpentry Limited had admitted four breaches of health and safety regulations.

John Robinson's widow, Christine Robinson, said: "John was a kind, caring man who lived for his family. My children and I have not come to terms with his death; we don't understand why it had to happen.

"This incident should never have happened if both companies had ensured the safety of those working for them. Every day I miss John so much - my best friend, my soul mate and my future."

 

 

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