Detecting and Preventing Fraud in Insurance Claims by using Artificial Intelligence

Abstract

Insurance companies have been suffered financial losses as a result of fraudulent activities. People from Insurance industry believe that fraud exists anywhere and they are being discovered across lines of business. Fraud in insurance claim is a significant issue for insurance companies and it has gotten worse in recent years. Most of the people recognized that traditional fraud detection methods are not enough to detecting and preventing fraud claims in insurance. This paper explores the current trends in insurance sector particularly identifying fraudulent activities in claims and utilize artificial intelligence in found and protect of deceit claims. This paper highlight different kind fraud and its impacts on insurance companies and policy holder, traditional methods used to detect and prevent fraud claims and its problems and lack of capabilities associated with traditional methods, emergence of Artificial intelligence and its impacts in various sectors, emerging fraud detection method using artificial intelligence, capabilities of Artificial Intelligence based fraud detecting methods, benefits gained by using Artificial Intelligence based fraud detecting methods, future trends in insurance sector.