World Finance Informs

Insurance fraud has always been a major claims challenge, but the economics of detecting it are changing quickly. Insurers are dealing with large volumes of claims, increasingly complex evidence and fraud schemes that can be difficult to distinguish from legitimate losses. Artificial intelligence is giving insurers new ways to identify patterns across that information, while also creating a new question for the industry: can AI reduce fraud losses without adding another expensive layer to claims operations? The financial incentive is substantial. Current industry estimates put the annual cost of insurance fraud to consumers and businesses at around US$308.6 billion across...