Filed Under:Markets, Workers Compensation

Insurers Use New, Enhanced Tools to Gain Ground in Fight Against Fraud

Technology aids investigators in a best-practices approach to detecting and preventing fraudulent claims

It’s tough to find much to be optimistic about when considering insurance-fraud statistics.

The National Insurance Crime Bureau (NICB) reports a record number of questionable claims in 2011. Consumer tolerance of fraud is also increasing, with the Coalition Against Insurance Fraud (CAIF) reporting that over the past 10 years, fewer Americans think it is unethical to inflate claims or misrepresent facts to gain coverage.

“There are cameras everywhere. They aren’t the silver bullet, but they do provide evidence,” says Butler. In a recent case, Liberty Mutual was able to utilize traffic-camera images to prove that a person claiming to be injured in an accident was not in the vehicle. 

OLD MODEL, FRESH APPLICATION

“[Fraudsters] have become more sophisticated in hiding their schemes,” he explains. “The tools will not make a claim decision for you, but they give the decision-maker the most relevant information quickly.”

FIGHTING ON MULTIPLE FRONTS

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