According to a new report from the Icelandic National Audit Office benefit fraud is extremely uncommon in Iceland. The report analyzes the results of an extensive crackdown on suspected benefit fraud launched in 2014, finding only a handful of cases, the Icelandic National Broadcasting Service reports.
Some had suggested that the system was rife with fraud. Spokesmen for the rights of the disabled say that the report vindicates those who have argued that the rhetoric about benefit fraud has only served to stigmatize the disabled and people who are at a disadvantage.
As the local news site Stundin points out the crackdown involved an invasion of the privacy of more than 500 recipients of Social Security benefits.
Benefit fraud in Iceland close to 0%
In 2013 the National Audit Office issued a press release where they argued that disability fraud in Iceland might amount to as much as 3.4 billion ISK annually (30 million USD/28 million EUR). This figure was based on controversial Danish report which had estimated that 3-5% of all benefits claims were fraudulent.
The Audit office argued that the figure in Iceland could just as high. Other reports, however, have shown that the proportion in Denmark is less than 1%. The new Icelandic report shows that the proportion in Iceland is closer to 0%.
The 2013 report sparked an intense political debate which resulted in the Social Security Administration receiving extensive powers to crack down on and investigate suspicion of fraud. Monitoring was also increased dramatically.
The new study by the National Audit Office shows that this crackdown resulted in only a handful of new cases of fraud being identified.
Handful of new cases uncovered
Every year the Social Security Administration flags hundreds of cases, but at closer look less than 1% of all cases which are checked involve fraud: Most flagged cases are either explained by typos or other simple errors or mistakes by the applicant or the staff of the Social Security Administration.
If benefit fraud was widespread the number of flagged cases and fraud would be expected to have jumped in 2015 after the administration launched its crack-down. No such increase took place. The number of flagged cases actually dropped, while a handful of new fraud cases were uncovered.
Actual fraud cases uncovered were:
- 2011: 1
- 2012: 15
- 2013: 12
- 2014: 10
- 2015: 15
- 2016: 18
According to a new report from the Icelandic National Audit Office benefit fraud is extremely uncommon in Iceland. The report analyzes the results of an extensive crackdown on suspected benefit fraud launched in 2014, finding only a handful of cases, the Icelandic National Broadcasting Service reports.
Some had suggested that the system was rife with fraud. Spokesmen for the rights of the disabled say that the report vindicates those who have argued that the rhetoric about benefit fraud has only served to stigmatize the disabled and people who are at a disadvantage.
As the local news site Stundin points out the crackdown involved an invasion of the privacy of more than 500 recipients of Social Security benefits.
Benefit fraud in Iceland close to 0%
In 2013 the National Audit Office issued a press release where they argued that disability fraud in Iceland might amount to as much as 3.4 billion ISK annually (30 million USD/28 million EUR). This figure was based on controversial Danish report which had estimated that 3-5% of all benefits claims were fraudulent.
The Audit office argued that the figure in Iceland could just as high. Other reports, however, have shown that the proportion in Denmark is less than 1%. The new Icelandic report shows that the proportion in Iceland is closer to 0%.
The 2013 report sparked an intense political debate which resulted in the Social Security Administration receiving extensive powers to crack down on and investigate suspicion of fraud. Monitoring was also increased dramatically.
The new study by the National Audit Office shows that this crackdown resulted in only a handful of new cases of fraud being identified.
Handful of new cases uncovered
Every year the Social Security Administration flags hundreds of cases, but at closer look less than 1% of all cases which are checked involve fraud: Most flagged cases are either explained by typos or other simple errors or mistakes by the applicant or the staff of the Social Security Administration.
If benefit fraud was widespread the number of flagged cases and fraud would be expected to have jumped in 2015 after the administration launched its crack-down. No such increase took place. The number of flagged cases actually dropped, while a handful of new fraud cases were uncovered.
Actual fraud cases uncovered were:
- 2011: 1
- 2012: 15
- 2013: 12
- 2014: 10
- 2015: 15
- 2016: 18
