Insurance companies believe that policyholders are honest and the contract between them and the customer are based on mutual trust. However, we are always on the lookout for fraud since fraudulent insurance claims are occasionally made.  Where fraud is detected, claims will not be paid and a denial letter will be sent to all parties involved informing them that the company will not pay for the claim.  The majority of cases have to do with the policyholder attempting to receive more money by exaggerating a claim. Where detected fraud is major, we may refer the matter to the police for criminal prosecution.