United Arab Emirates - Medical Fraud Increases Insurance Costs
Friday, 05 15 2015, Category: Insurance and Reinsurance, Country: U.A.E
Medical fraud causes a rise in the cost of insurance premiums and a decline in benefits received by both insurance companies and the insured individuals.
The Abu Dhabi National Insurance Company (ADNIC) has investigated around 50 cases of medical fraud in the past few years.
Shahzad Alam, the director of the Special Investigations Unit in the company, has told “Alroeya” Newspaper that ADNIC has written off a number of service providers from its network and recovered large sums of money based on the results of the investigations. He also noted that the company is in the process of taking legal measures against a number of the violating service providers.
He also explained that medical fraud includes obtaining sick leaves from work for unnecessary reasons and pharmacies supplying cosmetics and other non-medical products instead of medical prescriptions given to health insurance policyholders.
Source: Alroeya – United Arab Emirates