Insurance claims frauds
Even if we represent the workers that suffered from work relate injury and try to help them get the compensation that they need. There are also plenty of cases where the workman’s comp is being abused by fraudulent behavior of workers that try to milk these claims by faking an injury or making the injury seem more severe than they actually is. Lets look at how it can negatively impact companies and other workers in that company.
Everyone likes to get some extra money on the side and reduce the cost of their bills at the end of the month. In any system there are some loopholes or opportunities to abuse a certain system for your own benefits. That principle goes for insurance claims as well.
When you receive an injury at work, there are several compensation claims that you can receive. The type of insurance is also related to the severeness of your injury. If you are not able to work for prolonged periods of time you can receive a percentage of your usual salary and paid medical bills. In some cases where you are permanently disabled, you can receive a lifetime compensation benefits.
These compensation claims serve purpose of protecting the workers in cases of work related injuries. But there are many instances where workers fake injuries just to receive these compensations. Cases like these are not so uncommon and they can really have detrimental effect on a start up company.
If the company finds out that you have been abusing the workers compensation claims, than they can come after you very hard, as this is pretty much same as stealing from the company that you work for.
Workers that abuse these insurance claims can really burden a smaller or start up company that is trying to make ends meet. Worst case scenario is that the company goes in to a loss due to these frauds. There has been cases where a lot of workers abuse the insurance also affect their coworkers as the company is forced to remove bonuses for that year or even cut the salaries to make up for the losses.
Companies should be aware of theses fraud attempts and keep in mind that most of the time the people will try to make any system work in their favor, and if they see a way to abuse, than they will.
One thing companies can do is to create effective insurance policy to counter this. Hire an established professional to keep a close eye on your insurance programs. Keeping control and monitoring well all of your companies cut downs and expenses can go a long way.