As social media sites have grown more popular, so has their use by insurance companies that want to know more about the people they insure.
Disability, medical liability and workers' compensation insurers now regularly use Facebook and Twitter to investigate potential fraud, experts say.
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And health insurers are using online profiling during the underwriting process. That includes looking at Facebook and Twitter posts or geolocation services such as Foursquare to see where current or prospective members go and what they do, said Owen Tripp, co-founder and chief operating officer of Reputation.com, a Redwood City, Calif.-based firm that helps people and companies monitor and manage their online profiles.
"Insurance companies and representatives of insurance companies are using social media to get an edge on their competition in understanding the risk profile of the insured," he said.
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