Industry Spotlight: Background Checks for Insurance Companies

Insurance companies are privy to some pretty important information. Our financial information. Our personal identifying information (PII). Our assets. This makes them a pretty good place to start for fraudsters.

Big Business

More than 7,000 insurance companies in the marketplace collect upwards of $1 trillion in premiums each year, reports the Federal Bureau of Investigation. The FBI says the sheer size of the industry makes it vulnerable to acts of crime, which costs the average American family between $400 and $700 per year in increased premiums. All told, insurance fraud (not including health insurance) totals $40 billion per year.

The FBI reports that these are the most common schemes (click here for the full list and explanations):

  • Premium Diversion (Generally, an insurance agent fails to send premiums to the underwriter and instead keeps the money for personal use.)
  • Fee Churning (A series of intermediaries take commissions through reinsurance agreements.)
  • Asset Diversion (Occurs almost exclusively in the context of an acquisition or merger of an existing insurance company.)
  • Workers’ Compensation Fraud (Some entities purport to provide workers’ compensation insurance at a reduced cost and then misappropriate premium funds without ever providing insurance.)
  • Disaster Fraud Schemes (False or exaggerated claims by policyholders.)


A Good Offense is a Smart Defense

One of the most proactive things an insurance company can do is perform routine background checks for pre-employment screening and/or agent/broker checks. It’s the premiere screening strategy to help stave off crimes before they occur. Background checks can help you effectively and efficiently investigate claims, alert you to potential signs of criminal activity, and, hopefully, begin to reduce the amount of financial losses that currently plague the insurance industry.


Insurance companies, however, must tread carefully in complying with government regulations, particularly if they’re going to conduct background checks. The most positive move an insurance company can make is to partner with a trusted, reliable and nationally-accredited screening agency like Active Screening who can help them take any guesswork out of the background check process.


Trusted Partner

Active Screening is experienced in helping insurance companies maintain compliance with the Insurance Fraud Prevention Act and corresponding State Regulatory Laws, as well as screening regulations like the Fair Credit Reporting Act. We have an extensive background in developing and implementing solutions for employees, agents and temps. Additionally, we provide solutions for Special Investigation Units. Active Screening develops comprehensive screening solutions that meet not only your needs, but those of the insurance industry in general.


Here are some of our solutions for insurance providers:


 Identity & Credit
Establish your applicant’s identity, address history and personal responsibility.

Driver’s Records
Determine eligibility for driving a company or personal vehicle for business use.

Criminal Records
Identify criminal convictions or lack thereof so that you can hire with confidence.

References & Credentialing
Confirm the information provided on a resume and/or job application.

Substance Abuse Testing
Insulate your organization from workplace accidents, violence and rising health care costs.

Electronic I-9 Solutions
Verify your applicant’s right to work through integration with E-Verify.

Global Solutions
For a global workforce or organizations who hire overseas individuals.

Applicant-Entry Solutions
Give your applicants a simple online paperless form and payment solution.


Let’s Talk

Active Screening is that rare company who not only excels at what we do, but works diligently to provide customized screening options for a range of industries, including the insurance industry. We know that one size does not fit all when it comes to background checks. And we know that your company has unique requirements. That’s why we promise to ask you questions, listen to you, ask more questions, engage with you, trouble shoot with you, ask even more questions, maximize efficiency with you, and in the end, provide the best customer service and screening solutions you have ever used. Our team members are standing by to talk with you at 1.800.319.5580. Let’s work together to try to reduce the amount of money that fraud is costing your insurance company and your clients.





This entry was posted in General by Patricia Carlson. Bookmark the permalink.

Patricia Carlson is a content writer who specializes in B2C and B2B inbound marketing. She blogs regularly for clients about the background screening and finance industries, and generates newsletters, white papers and email campaigns for a variety of businesses. Patricia also produces a heavy rotation of editorial material for home design, law enforcement, and family magazines. She’s been writing professionally for more than a dozen years, and for Active Screening for more than two of those. Check out LinkedIn for a roster of Patricia's clients and links to published works. When she’s not interviewing sources or researching trends, she’s living a fast-paced Florida life questioning the antics of her two young children, partner and mischievous cat. Patricia loves to talk tennis and TV on Twitter - give her a shout @pattycfreelance.
Active ScreeningBarbara S.
Healthcare Industry

"Here at Holland Hospital, we have been extremely pleased with Active Screening. The report results come back quickly, usually within 24 hours or less.  The staff at Active Screening is easy accessible, knowledgeable and responds to our questions promptly."

Active ScreeningLynn C. Staffing Industry

"Benton Mobley has been and remains my Main point of contact at Active Screening from the beginning; so aside from the comfort of dealing with the same person all these years, there is the most important fact of all;  customer satisfaction. Benton knows the business like the back of his hand; and that is what we need in our fast paced industry of staffing. He is the all-time BEST!  MY employer, Leslie, believes in the notion that great service deserves to be rewarded, so we are here for the duration.We get immediate and personalized attention for any and all concerns we need addressed, and in the staffing industry, this is vital."

Active ScreeningCayce R. Education Industry

"My experience working with Active Screening for our background check process has been very positive.  The reports are almost always completed in a very timely fashion. The information reported appears to be very thorough and accurate.  On the rare occasions that we have questions or problems, the customer service team is always very quick to respond and resolve the issue.  Overall, I am very pleased with the service I receive from Active Screening."

Active ScreeningCraig H. Staffing Industry

"Your customer service is excellent.  The turn around time on background checks is quite fast.  Excellent work.  I haven't had a single problem."

Active ScreeningJackie C. Education Industry

"I wanted to thank you and your staff for being so patient and working so diligently with the Human Resources staff during our recent endeavor to process all of our work study students through background screenings.  We have never had to process so many requests within such a short period of time before, but thanks to you and your staff we made it. Again thank you, we made a good choice in selecting Active Screening."

Active ScreeningLindsey W.  Financial Industry

"I wanted to share my appreciation for your wonderful service...switching background screening companies could have been a stressful task, but your company made the transition seamless. Your website was extremely easy to navigate and the turn around time has been great. I appreciate when information is missing or entered incorrectly during ordering, your company notifies me right away to ensure that my error does not hold the reports results, causing us a delay in hiring an individual...Active Screening has been great to us and I would definitely refer them to others."

Active ScreeningTerry S. Property Management

"Working with Active Screening over the last year and half has been a wonderful experience. They deliver fast and informative results at the best price. Their level of professionalism and the speed they respond to our issues is a benefit that any company can value from. I would highly recommend using Active Screening and their amazing team."

Active ScreeningYulesis D.  Staffing Industry

“Interactive Response Technologies (IRT) has more than 2,000 employees at multiple locations across the United States. IRT has been using Active Screening to conduct criminal background checks since 2006. During this time, Active Screening has consistently returned accurate reports, usually with less than 48 hours turnaround. If there are any problems or inconsistencies with the reports, their staff has called to notify us so that we can attempt to rectify the situation. The staff at Active Screening is always courteous and congenial over the phone. In our opinion, Active Screening is outstanding.”

Active ScreeningAndy N. Software Provider

 "Active Screening has helped us screen our applicants in record time for more than two years.... we are very impressed with the professionalism and speed with which their service team responds to our questions. They understand our needs and are a pleasure to work with. I highly recommend them."

Active ScreeningCassie J. Staffing Industry

"The Active Screening team is very informative; they provided a complete consultation on all the services, so I understood what I needed, and saved me hours and hours of my time learning the various services. Their reputation, as being on the cutting edge of employment screening best practices, certainly held true in this instance. The expertise they brought to the table was invaluable to our understanding of our applicants backgrounds. I highly recommend Active Screening to anyone with the task of screening large numbers of applicants and needing reliable customer support."

Active Screening

With over 20 years of law enforcement experience I can attest to the fact that the strongest predictor of future criminal behavior is a person’s criminal history. As the manager of campus safety at my church, I depend on Active Screening to provide a thorough assessment of every criminal history background check we request. For more than 3 years, Active Screening has been faithful to this task with timely, accurate and reliable service.

Active Screening

We have benefited from knowing that we are not exposing the communities we work with or ourselves to unnecessary risk. We continue to have a perfect record in that we have never had a serious incident with a trip participant causing harm or acting inappropriately with any community member or fellow team member- thank goodness!

Active Screening

I would highly recommend any association or organization who conducts background checks to use Active Screening. In addition to my involvement with WAHA, I am an officer in a corporation with over 500 employees who provide treatment, mental health, and correctional services for children and adolescents. Our company is mandated by law to do comprehensive background searches and I can say with the utmost sincerity that Active Screening product rivals that of any government or other private sector process.

Active Screening

We have used Active Screening and their solution VERITY to screen all our coaches and volunteers working with youth. The online system gives us an easy and cost-effective solution to collecting forms and payments from our applicants...and we simply login to view the results of who passed or failed. It's so easy....thank you Active Screening.