According to CoreLogic’s most recent data, there were 55,000 foreclosures in June 2013, reflecting a 2.5 percent increase over May 2013. The term “completed foreclosures” refers to the number of homes actually lost to foreclosure. The consultancy reports that there have been an estimated 4.5 million foreclosures since the financial crisis began in 2008.
In a state-by-state comparison, Florida remained the state with the highest percentage of mortgaged properties in foreclosure by a wide margin.
In light of those figures, insurers are wise to monitor signs of fraud in claims that they process when properties are in foreclosure. When property owners face the tremendous financial pressures that can lead to their properties entering foreclosure proceedings, the motivation to commit fraud could be present. In fact, having a home in foreclosure can be a red flag for fraud. That’s why we offer ISO ClaimAlert™: Foreclosure, the newest tool in the ISO ClaimSearch® suite. It scans property claims as they come in to ISO ClaimSearch, flagging those with properties in foreclosure and notifying adjusters that they may need to investigate further.
For more information, contact your ISO representative.