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As often happens in times of economic distress, the risk of fraud - both internal and external is greater than it has been in a number of years. Many insurers already have controls and systems in place to identify, monitor, and manage fraud risk, and to protect themselves, their policyholders, and their shareholders from these risks. However, the current environment ill put those measures to the test. Economic downturns historically feature increased risk of fraud-related losses. Insurers need to focus on the leading sources of fraud, both internal and external, including policyholders, business partners, and employees.
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