Misreporting rampant in insurance forms: LexisNexis study

Consumers tend to omit or incorrectly report information while filling out health insurance application and claims forms, finds a LexisNexis study.

IN THE APPLICATION FORM

What is being misreported during the application process?
The tendency to misreport is higher among those in the age group of 25-34 years and among those who consider their health to be poor.


36% of respondents feel it is acceptable to misreport income details.

31% could suppress family medical history.

34% would be okay with not reporting marital status.

29% may fail to mention health claims history.

DURING CLAIMS SUBMISSION

Why do consumers omit or give wrong information during the claims process?
What is alarming to health insurers is the finding that 7 in 10 consumers would find it acceptable to consciously omit or incorrectly report information during claims submission

52% think the information could be misused to negatively impact them.

48% think the claim could be denied if they gave the correct information.

47% fear it may call for more medical tests.

42% feel the insurer does not really need the information.

Source: 2017 India Consumer Insurance Study-Health Insurance by Lexisnexis Risk Solutions. The survey covered 601 respondents.