5 InsurTech Startups Helping Auto Insurance In Fraud Prevention
Insurance fraud brings enormous financial loss to insurance companies every year. Insurtech can benefit both insurers and customers by detecting and preventing fraud. Zimlon looks at 5 such disruptive startups changing the landscape of auto claims insurance.
Experts say that more than 20% of bodily injury claims and 10% of vehicle damage claims as a result of car accidents are fraudulent. Data science platforms and software made it possible to detect fraudulent activity, suspicious links, and subtle behavior patterns using multiple techniques. Besides, AI can also help cut the lifecycle of a claim by 20% by automating some systems. By reducing claim cycle time fraudulent claims are limited and client retention increases. Especially in the case of straightforward cases, insurers should use an analytics-driven approach to claims handling and fully automate the claims handling processes. Customers are choosing digital channels, and technologies, as reflected in a survey by Accenture, 74% of them would like to interact with modern technology and rely on the computer-generated system for insurance advice.
Moreover, using the latest advances in AI and picture recognition, leading players in the automotive sector can estimate a vehicle’s damage value in real-time based on customer images or a damage description. AI can automatically help identify the next step in a specific customer journey, reducing manual interference and delays, and significantly speeding up the claims process.
DropIn- An LA-based tech company, DropIn is changing the way the insurance companies process claims with two-way video claims processing and drone-based appraisals.
Tractable- The UK based company uses AI to identify parts of a car and the damage to those parts based on photos of the vehicle. AI collects damage data, analyses it, enables efficient repairs, and accelerates settlement.
CCC- By harnessing the power of telematics, Illinois based insurtech, CCC solutions, enables insurers to impact Auto Physical Damage (APD) claim processes by providing AI solution for vehicle collision estimates.
Clearcover- A Chicago-based auto insurance startup, Clearcover uses AI to insure users and to effectively process claims. The company uses technology to offer better customer service and lower prices.
Claim Genius- Using Claim Genius's patent-pending image analysis and predictive analytics tools, carriers can now provide instant damage estimates and rapid processing of claims based on user uploaded images on their mobile app, reducing claim expenses and time by 50%.
Galaxy AI- Developing AI that analyses images in real-time, Galaxy AI, detects damage on a vehicle and automates claim estimation. Take a picture of the damage from your cell phone and receive a claim estimate in seconds. Decrease loss adjustment expenses by up to 70%.