Earlier quoted context omitted.
In the US there have been recent papers discussing how roughly 10% of the medicare budget goes to people who live less than a year, with the implication that perhaps we shouldn't be spending so much on people with so little time. It is a well established fact by the CBO (Congressional Budget Office) that roughly 10% of the medicare budget is wasted on fraudulent claims (even though their rejection claim rate is rough…
Fraud should be a concern, however at some points, the attempts to eliminate it outweigh (in terms of cost and effort) the effect of its existence. At that point it becomes a morality issue rather than a practical one. For comparison, I wonder if the CBO was given full investigatory power into private insurance, would they discover a higher or lower fraud percentage? It would not surprise me if they were higher, and…
If we are talking about fraud within the company/government, I would expect the same - less in the company than in the government. Not zero, but less overall.