Background Screening Trends In Insurance Industry

By Author: naman Vohra
Total Articles: 133
Comment this article

In Insurance industry, there are a lot of things to protect from the integrity of the company to protecting the sensitive and personal information of the policy holders. Considering the fact that the insurance industry deals with a lot of confidential information, most of these insurance companies are very well-regulated and very much concerned about compliance with government regulations. Therefore, it is very necessary to conduct background verification on insurance professionals as it helps to investigate claims more effectively, to detect potential signs of fraud and reduce potential financial loss.

There are many instances of insurance fraud committed by insurance professionals that calls the importance of hiring loyal employees in this sector. Poor hiring decisions can have a negative impact on the insurance sector as incidents such as fraud, misconduct or theft of sensitive information is likely to committed by the employees. Insurance companies are therefore, should be deeply focused on protecting the reputation of the company and the professionals representing the company so that people can rely on the company. ...
...

Considering all these circumstances, insurance industry has to be hyper vigilant in their compliance and hiring efforts. Realising the importance of right hiring, most of the insurance companies rely on background screening companies for comprehensive background screening solutions to screen and hire top talent. The insurance industry is very heavily regulated by the government and therefore it is imperative to hire the right professionals to keep the insurance business moving.

As per survey conducted by a leading background verification company in India, highest discrepancy in insurance industry displays in the 30-39 age group, followed by 25-29 brackets. The same company has conducted an analysis of discrepancies as per the checks for the years 2010-11. 2011-12 and 2012-13.

Check-wise analysis in the Insurance industry shows that employment discrepancy has the maximum contribution throughout the fiscal 2010-11, 2011-12 and 2012-13, the second highest contribution being that of reference discrepancy. Address and education discrepancies show a contrasting trend with address discrepancy decreasing from 11.22% in 2010-11 to 8.85% in 2012-13 and education discrepancy rising from 2.78% in 2010-11 to 3.25% in 2012-13.

With an effective background screening policy in place, the insurance industry can hire experienced, trustworthy employees , which would eventually minimise the risk of the insurance fraud and theft of confidential data to a large extent.