The importance of claims investigation cannot be dismissed. Insurers pay 10% of their claims costs on fraudulent claims annually. In different lines of business such as health, life and P&C, insurance fraud are widely on the rise. This can be quite distressing for the insurer and is a challenge that insurers deal with most often. This is where new-age insurance technology can come to your aid.
With implementation of auto-fraud detection systems, insurers can detect and prevent fraudulent activities early on. In fact, data from Coalition Against Insurance Fraud (CAIF) has revealed that insurers are actively integrating auto insurance fraud detection systems to flag insurance frauds and offer better customer experience. Want to know more? Keep reading till the end!
Does Claims Investigations Have an Impact on Insurers?
Yes, it certainly does. A significant amount of insurance companies’ reputation is tied to claims investigation. An insurance company’s genuine efforts in investigating frauds lead to trust building in their clients. However, fraudulent claims are not just an additional cost bearer for the insurer but also can affect its credibility, eventually leading to an erosion of trust. As per a report by the Coalition Against Insurance Fraud (CAIF), the annual cost that insurance fraud leads to is a whopping $308.6 billion, detrimentally impacting consumers and insurance companies.
How implementing digital solutions help? Head to the next section to find out!
Why Insurers Need a Fraud Detection System?
Better safe than sorry!
From Investigators giving faulty reports of investigations to the customers falsifying scenarios to reap the entire advantage of their claim’s benefits, the insurance industry is seeing a steep rise of such fraudulent activities, especially in health insurance. In this scenario, there is a heightened need for a fraud detection system that can combat these issues. A survey says that insurance fraud has increased during the COVID-19 pandemic and investigations largely moved to digital channels.
With insurers opting for a fraud detection system, not only will there be higher efficiency in investigating claims as opposed to manual claims review but also in detecting fraudulent activities. Not just a safeguard for your company but a saver for billions! Additionally, such implementation of new insurance technology also helps in identifying legitimate insurance claims and giving those policy holders the compensation that they deserve.
But do all insurance claims get investigated? Only a specific percentage of claims get investigated, while the ones that involve minimal damage gets processed without inquiry. But investigation for such insurance is as important as the ones that cover more damage.
What plays the Catalyst in Genuine Claims Investigation?
An Efficient and Trusted Solution!
iNube’s Claims Investigation solution is The Solution You Need
Detecting frauds in different LOBs can be a challenge. But iNube’s Claims Investigation solution simplifies it!
Efficiency and accuracy is the key in accurate claims investigation. With iNube’s Claims Investigation solution solution, streamlining and centralizing claims investigation has become simpler. Specifically designed for claims investigation across different business verticals all in one platform, with Claims Investigation solution, there is a significant cost cut as it leverages field teams’ efficiency to the fullest giving a digital twist. A consolidated platform that you simply cannot afford to miss for claims investigations!
More Bandwidth, Efficient Plug Leakage with Claims Investigation solution!
Book a session with us and get to know Claims Investigation solution better!
