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The study aimed to figure out the effectiveness of the internal control system on the reduction of fraud in the Jordanian public insurance companies. To achieve the objectives of the study, a questionnaire was prepared and the descriptive analytical approach was adopted. The study population consisted of all the employees in the Jordanian public insurance companies under the titles (Manager / Deputy Manager, Department Manager, Head of Department, and Auditor). The study sample consisted of 168 male and female employees, and the data were analyzed using the (SPSS2) to achieve the objectives of the study. The study concluded that there is a statistically significant impact at sig. (α≤0.05) for the dimensions of the effectiveness of the internal control system to reduce fraud. The study recommended the need that the companies stress on acquiring the skills of successful interaction skills by the employees.

Impact of the Effectiveness of the Internal Control System on the Reduction of Fraud in the Jordanian Public Insurance Companies