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Learn More About Identifying the Most Frequent Types of Fraud in Workers’ Compensation

Workers' Compensation

Even if you have workers’ compensation coverage already, no company is fully immune from the unfortunate possibility of fraud. In order to be vigilant and catch possible warning signs early, you may want to review and commit to memory the following workers comp fraud examples.

Check Insurance Certificates Every Time You Hire a Contractor

If your business regularly works with independent contractors, including sent out by agencies, be sure to check their or their employers’ insurance certificates before getting started on the job. This is to prevent fraudulent certification, because if they don’t have proper insurance and are hurt while at work, your company might end up listing them as an employee on your insurance instead.

Identify the Signs of Different Workers’ Comp Fraud Types

While it’s not always possible to identify workers’ fraud early, there are some common types that you can watch out for carefully. These encompass, but are not limited to:

  • Fake injuries or false representation of the severity of the injuries
  • Collecting workers’ comp benefits while still going to work and getting paid
  • Falsely marked up medical bills
  • Getting injured elsewhere and stating the injury happened on the job

Though insurance coverage is necessary to provide workers’ comp to your employees when required, there is always the possibility that someone may try to commit fraud through the system. However, by understanding these workers comp fraud examples, you can be on the lookout for irregularities and keep your employees honest.

Contractor Employees Fraud Injury Workers Compensation
January 8, 2021 William

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