Tower has partnered with Dutch artificial intelligence firm FRISS to automate the detection of suspicious claims and speed up the entire claims process.
Around 10% of the casualty insurance market’s losses are due to false positive claims, Tower said, citing data from the Insurance Fraud Bureau of New Zealand. The discrepancies include adding extra items to claims forms and deliberately staging accidents, which all lead to other insurance customers having to pay higher premiums.
“Technology and data are at the forefront of our strategy to innovate the insurance industry and help our customers better with simple and rewarding experiences,” said Blair Turnbull, Tower CEO. “FRISS is the world’s most widely implemented risk mitigation solution that features powerful AI techniques such as predictive models, network analysis and text mining. By separating claims with low risk of fraud on a fast track, it will standardise and further speed up claims screening at greater accuracy.”
The technology will be integrated into Tower’s claims process over the next few months.
“We’re excited to support Tower’s digital journey to strengthen its customer focused services with our AI-driven solutions,” said Ariane Braam-Verkoren, vice president for Asia-Pacific, FRISS. “The real-time FRISS solution provides a unique combination of out-of-the box risk and fraud indicators with powerful AI techniques such as predictive models, network analysis and text mining. This will significantly strengthen Tower’s ability to safely digitise its processes. The partnership also fits well for FRISS in our strategy to expand our support for honest insurance, and we’re anxious to see what great results it will bring in the near future.”
