Armed with cognitive computing technologies, the property/casualty insurance industry is making it more difficult to perpetrate claims fraud successfully.
Executive SummaryBy incorporating cognitive computing and predictive analytics into workers compensation claims adjusting, fraud can be detected much earlier than in the past. However, these capabilities do not remove the need for knowledgeable and rigorous claims adjusters.
Employers, insurers and the economy at large all suffer financially from claims fraud, which costs an estimated $80 billion across all lines of insurance, according to the Coalition Against Insurance Fraud. The same organization reports that each year, approximately 10 percent of property/casualty insurance losses and loss adjustment expenses are consumed by fraudulent claims.