HomeNews & IdeasPerspectivesWant to improve Auto Insurance margins? Attack pre-existing Damage fraud first.

Want to improve Auto Insurance margins? Attack pre-existing Damage fraud first.

Pre-existing damage charged to newly bound auto policies just might be the largest single dollar fraud category afflicting auto insurance carriers. Substantially higher claims numbers and dollar volumes in the first year of a policy certainly point in that direction. But without more direct evidence it couldn’t be proven.

Until now. By using our idMobile tool to document images of every single covered vehicle  before binding, a carrier has been able to eliminate one third of early claims and reduce claims dollar volumes by over ten percent in the direct channel with strong indications that another five percent can be eliminated for agent business.

It is perhaps the biggest single anti-fraud intervention that carriers can make to improve their bottom line. Our carrier customer is rolling it out as fast as they can. Yes, some of their customers refuse to comply but the great majority do and the ones that don’t are the ones no one wants.

But it takes more than just a typical photo app to get the desired results. idMobile combines powerful AI image and character recognition, a structured workflow and very strong application security to ensure secure, valid, tamper-proof images. And as with all consumer interventions, rolling it out  requires behavioral insight and careful tuning to get the details right.

The good news is that idMobile can be piloted with little or no integration/implementation effort. So carriers who are in the midst of major change can test and benefit from idMobile rapidly without interfering with their ongoing infrastructure initiatives.

We’re VeracityID and detecting, defeating and deterring fraud is what we do

Copyright VeracityID, Inc. 2019  idMobile is a Trademark of VeracityID, Inc.

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