Article Synopsis :
Digitization has played a key role in changing the business landscape for insurers in terms of marketing, branding, customer acquisition and service offerings. But rapid advancement in digital technology and easy reach has equipped fraudsters too with new and powerful tools. Instances of technology-driven frauds are affecting insurer’s profitability, which necessitates the adoption of technology to combat and reduce fraud.
The white paper by Neural Technologies titled “Insurance Fraud in the Digital Age” explains how advanced data analytics and the exploitation of Big Data can play a pivotal role in fraud control. The white paper presents the insurance fraud fact sheet detailing
1. The Robin Hood Syndrome
2. Proactive fraud control
3. Fraud indicators or ‘Red Flags’
4. Fraud Probability and Investigation Profitability
5. Data analytics and online investigation opportunities
Link to Full Article: click here
Digital Insurer's CommentsThe author puts things in perspective by saying “There are opportunities for technical approaches to fraud detection and investigation as well as ongoing requirements for manual processes. It is important that firms recognise the need for both approaches and develop realistic expectations for the former”.
Insurers must figure out how to proactively identify and steer clear of frauds using technology driven tools. The analytics application that are emerging are capable of
1. Analysing unstructured data from social platforms
2. Performing sentiment analysis
3. Proactively identifying fraudulent patterns
Link to Source:: click here