2/11/14%

1%

South&America%

2/11/14%

2%

&&&Brazil&

&&&Brazil&

Brazil&

2/11/14%

3%

Ecuador&

Ecuador&

Peru&

2/11/14%

4%

Bolivia&

Bolivia&

Paraguay&

2/11/14%

5%

Chile&

Argen9na&

Argen9na&

2/11/14%

6%

Uruguay&

Brazil&;&India&

Similari9es&%Just%like%Brazil,%India%is%a%beau:ful%%%%%%%%%%%%%%%%%%country...%

%

Brazil&;&India&

...rich%in%religious%and%cultural%tradi:ons,%%

2/11/14%

7%

Brazil&;&India&

...beau:ful%natural%landscapes%and%ethnic%diversity.%%%

Brazil&;&India&Dierences& Marriage%in%India%is%quite%dierent%from%%%%%%%%%%%%%%%%%%%%%

standard%Western%marriages,% Celebra:ons%last%many%days,%with%lots%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%

of%music,%and%guest%dresses%are%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%bright,%colorful%and%animated,%

Bride%prepara:on%for%wedding%lasts%%%%%%%%%%%%%%%%%%%%%%%%%%%about%week,%%

While%in%Brazil,%Brides%spend%the%day%in%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%a%beauty%salon%being%prepared%for%the%great%day.%

%

Brazil&;&India&

Dierences& If%someone%wants%to%be%elegant%%%%%%%%in%Brazil,%he%or%she%wears%brandLnamed%clothes,%

In%India,%elegancy%is%synonymous%with%gold.%%%

%

2/11/14%

8%

Brazil&;&India&Dierences& Brazil's%popula:on%is%approximately%of%201&million&people&(IBGE&'&2013),&&

Much%smaller%than%the%popula:on%in%India,%which%is%of%1.28&billion%people,%the%second%largest%in%the%World.%

%

ARM&South&America&

One&Con9nent& 1%Division% 16%Unions% 79%Conferences/Missions% 18%Hospitals%and%Clinics% 3%Food%Plants% 2%Editorial%Houses% 1%TV%channel%and%3%

rebroadcas:ng%sta:ons%in%Spanish%

8%ADRAs% 2%Planes%

%

45,673%lives%approximately% 25,028%Churches/Groups% 543%Schools% 311%High%Schools% 16%Universi:es% 182,000%Pathnders% 57,000%Adventurers% Radio%sta:ons,%foster%care%and%

home%for%the%elderly,%motorboats,%and%eet.%

%

%

2/11/14%

9%

Managing&Risks&of&Criminal&and&

Fraudulent&Acts%

What&is&Fraud?&Behaviour:& Inten:onal%act%of%inducing%or%keeping%

someone%on%error%through%ar:ce,%decep:on,%or%any%other%decep:ve%means,%

Inten:onally%concealing%the%truth.%Purpose:& Obtaining,%for%himself%or%for%another,%

illicit%advantage,%in%detriment%to%others.%%

Insurance&Fraud&

Fraud&aimed&at&receiving&any&&&&&&&&&&&&&&&&&insurance&indeniza9on&or&any&values:&

&

Behaviour:&&% %Totally%or%par:ally%destroying,%or%hiding%any%of%his%

proper:es,%or%injuring%his%own%body%or%damaging%his%health,%or%aggrava:ng%the%consequences%from%the%injury%or%disease,%with%the%inten:on%of%receiving%any%insurance%indemniza:on%or%values.%

2/11/14%

10%

Cases&of&Insurance&Frauds&Automobile&Insurance:&&

%Concealing%facts%on%inspec:ons%or%applica:ons,% Incorrect%informa:on%on%inspec:ons%or%applica:ons,% %Shibs%in%responsibili:es,%% Inated%/%exaggerated%damages,% Overbilling,% False%claims%for%robbery%or%theb.%

Cases&of&Insurance&Frauds&Health&Insurance:&&

Omicng%informa:on%on%health%statement,% Third%party%use%of%an%insured's%ID,% Changing%medical%procedures,% Repor:ng%inexistent%medical%%% consulta:ons,% Drug%and%material%overbilling.%%%

Cases&of&Insurance&Frauds&General&Insurance:&&

Incorrect%informa:on%on%insurance%%%applica:on%forms,%%

Omicng%facts%on%inspec:ons,%% Staged%accidents%(inten:onal%accident),% Claims%for%inexistent%loss,%% Inten:onal%ina:on%of%loss,% False%claims%for%robbery%or%theb.%%

2/11/14%

11%

Cases&of&Insurance&Frauds&Life&Insurance:& Buying%insurance%for%a%deceased%person,%% Insurance%for%a%person%with%terminal%illness,%% Misrepresenta:on%on%insurance%applica:on,%% Buying%insurance%before%commicng%suicide,%% Death%or%accident%simula:on,%% SelfLinjury,%% Extension%of%recovery%:mes,%% False%informa:on%on%medical%reports.%

Cases&of&Fraud&in&Brazil& Accidental&death&instead&of&natural&death&

%Life%insurance%may%pay%twice%as%much%for%accidental%death%than%for%natural%death.%For%that%reason,%circumstances%of%death%may%quite%oben%be%distorted.%%%Case:&

% %"The%insured%had%a%fulminant%heart%ajack%in%a%party%and,%to%make%it%look%like%an%accidental%death,%they%took%the%body%and%threw%it%from%the%balcony%of%the%second%oor."%%

Cases&of&Fraud&in&Brazil& A&person&with&terminal&illness&commits&suicide&so&his&family&can&get&insurance&payment.&

&

%There%are%many%counts%of%a%person%that%is%terminally%ill%commicng%suicide%to%help%his%or%her%family,%under%nancial%duress,%receiving%insurance%payment.%Extreme%acts%like%that%are%commonly%associated%with%family%debts,%and%the%fraud%is%seen%as%the%last%op:on%to%solve%the%problem.%

2/11/14%

12%

Cases&of&Fraud&in&Brazil& Inten9onal&Murders&&

Case:&&%A%tragic%case%in%a%nursing%home.%"Employees%

bought%life%insurance%for%the%elders,%and%listed%themselves%as%beneciaries.%Aber%that,%they%brainwashed%the%elders%to%eat%less,%un:l%they%die%of%starva:on."%

Cases&of&Fraud&in&Brazil& Self;inicted&injuries&become&work&accidents&&

Case:&&%A%crime%gang%acted%against%farmers.%The%gang%

bought%insurance%for%personal%accidents%and%cut%their%ngers%or%hands%in%order%to%present%work%accidents%claims."%%

Cases&of&Fraud&in&Brazil& Inten9onal&Car&Rollover&Case:&&

%There%is%a%curve%at%the%Rgis%Bijencourt%Road%(from%So%Paulo%to%South%of%Brazil)%that%is%being%used%for%inten:onal%car%rollovers.%The%insured%pays%for%a%"rollover%guy"%to%go%through%this%curve%and%make%the%rollover.%The%insured%later%presented%an%accident%claim%to%receive%payment.%That%fraud%is%so%common%that%these%men%make%a%living%of%that.%They%are%known%as%"professional%rollovers".%%

2/11/14%

13%

Cases&of&Fraud&in&Brazil& Misrepresen9ng&or&Concealing&Informa9on&Before&Insurance&Companies&

Case:&&%Preexis9ng&Disease:%The%insured's%health%statement%of%

31/MAY/1999%with%a%nega:ve%answer%about%diseases.%He%had%chronic%kidney%disease,%but%he%claims%that%it%was%diagnosed%on%5/JUL/2000.%Medical%inspec:on%later%found%that%the%insured%already%knew%he%had%the%disease%since%7/AUG/1997."%

%

Aspects&that&S9mulate&or&%Give&Rise&to&Fraud&

Lack%of%knowledge%on%penal:es%related%to%whom%commit%fraud,%

Percep:on%of%impunity,% Lack%of%knowledge%that%frauds%rise%insurance%

premiums,% Lack%of%interest%of%society%to%report%frauds,% Economic%crises,% Wrong%no:on%that%personal%insurance%is%a%form%of%

saving%money%or%specula:on.%%

Fraud&in&Brazil&;&Data& In%2012,%veried%frauds%in%Brazil%cost%%%%insurance%providers%over%150&million&&&dollars,%

As%many%frauds%are%never%discovered,%%%actual%gures%are%certainly%bigger,%

Frauds%are%es:mated%to%represent%20%&of&total&corporate&costs.%"This%is%only%an%es:mate%from%insurance%experts,%it's%like%a%cabalis:c%number,%but%that%number%may%be%used%to%support%the%claim%that%if%frauds%never%happened,%these%20%%could%be%reverted%for%the%benet%of%consumer%through%cost%reduc:on."%

%

2/11/14%

14%

The&Bible&says...& The%ninth%commandment%says%do%not%lie.%The%Bible%says%in%

Exodus'20:16'"You%shall%not%give%false%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%tes:mony%against%your%neighbour."%%

Those%who%lie%are%excluded%from%God's%%%%%%%%%%%%%%%%%%%%%%%presence.%The%Bible%says%in%Psalms'101:7'''"He%who%prac:ces%deceit%shall%not%dwell%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%within%my%house;%He%who%speaks%falsehood%shall%not%maintain%his%posi:on%before%me."%%

God%hates%falsehood.%The%Bible%says%in%Proverbs'12:22'"The%LORD%detests%lying%lips,%but%he%delights%in%men%who%are%truthful."%%

%

Status&of&ARM&South&America& Ajempts%to%present%false%claims%is%lower%than%in%the%market,%but%unfortunately%it%s:ll%exists.%

%

The%es:mates%are%of%one%false%claim%per%25%claims.%

%

Discovered&and&Avoided&Cases&Case&1&%%The%person%in%charge%claimed%that%burglars%breached%the%church%and%took:%

%

1%computer%% 1%bass%% 15%plas:c%chairs%% 2%big%pan%%

2/11/14%

15%

Discovered&and&Avoided&Cases& ARM%South%America%received%some%documents,%but%no%pictures%to%evidence%the%burglary.%

%

Later%on,%a%few%pictures%arrived.%%

Discovered&and&Avoided&Cases&

Discovered&and&Avoided&Cases&Case&2& The%Property%Sheet%with%informa:on%about%the%equipment%of%the%church%was%prepared%aber%the%burglary.%

The%person%in%charge%sent%a%picture%of%the%handwrijen%document,%when%they%had%already%men:oned%that%all%Property%Sheets%were%already%in%digital%form.%

%

2/11/14%

16%

Discovered&and&Avoided&Cases&

Discovered&and&Avoided&Cases&Case&3& The%insurance%provider%send%quotes%to%recovery%the%pain:ng%and%all%other%vehicle%damages%(doors,%roof,%trunk%lid%etc.),%but%the%accident%aected%only%the%hood,%bumper%and%headlight.%

%

Discovered&and&Avoided&Cases&

2/11/14%

17%

Discovered&and&Avoided&Cases&

Discovered&and&Avoided&Cases&

Communica9on&

User%manuals,% Simplica:on%of%rules%and%norms,%%%%Plain%informa:on,% Training%church%en::es,% Orienta:on%through%communica:on%channels,%telephone,%website,%facebook,%twijer,%

Straight%and%open%communica:on%avoid%many%problems.%

%

2/11/14%

18%

Preven9on& More%training,%more%talking%%%about%the%issues,%and%less%%%cases%are%expected,% Preven:on%helps%to%correct%%%the%fraud%cases%and%cases%of%lack%of%knowledge%of%norms,%

Preven:on%costs%are%much%lower%then%when%frauds%occur.%

%

Rela9onship& ARM%South%America%tries%to%stay%

close%of%both%the%user%and%the%en::es,%

The%rela:onship%with%managers%of%%%the%church%en::es,%and%it%helps%to%iden:fy%and%correct%problems,%

ARM%and%the%church%need%to%work%close%to%help%the%church%workers%and%its%en::es%to%avoid%mistakes.%

%

If'I'take'care'of'my'character,'my'reputa@on'will'take'care'of'me.&&

Dwight%L.%Moody&

2/11/14%

19%

Do'your'best'and'let'God'do'the'rest."&