North America Financial Lines Crime Insurance Report

This report from AIG's Claims Intelligence Series focuses on crime insurance and fidelity bonds in North America, detailing loss trends and best practices for mitigation. It highlights the growing threat of social engineering fraud, which has become a significant source of claims, particularly affecting small and midsize organizations. The report presents data on nearly 700 claims from U.S. and Canadian policies between 2020 and 2022, showing that social engineering fraud now accounts for nearly half of all claims reported. It also notes that employee dishonesty is the second most common source of loss. The analysis reveals that smaller organizations, often lacking robust risk management resources, are disproportionately impacted. Additionally, the report discusses industry sectors most affected by these claims and emphasizes the importance of implementing best practices to reduce losses. Recommendations include requiring multiple approvals for fund transfers and investing in IT security to combat fraud.