Voice: The Key to Combating Insurance Fraud

Automation through speech analytics and AI provides the most adaptable and comprehensive anti-fraud cover for insurance companies, allowing them to protect business and customers with minimal impact on customer interactions.

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Fraudulent activity in the insurance sector is constantly evolving, proving challenging for companies to keep pace with and prevent. Speech recognition and AI technology are providing the foundations necessary to adapt to changes in fraudulent behavior, maintaining a far higher level of protection for companies and their customers. Tackling the analysis of audio and video data, speech analysis technology is pushing the boundaries of fraud prevention to create effective and systematic strategies.

What roles do speech recognition and machine learning play in anti-fraud strategy?

Speech analysis technology factors into fraud prevention in a variety of ways. NLP (natural language processing) is particularly effective, allowing for the understanding of the human language by computer systems. Combined with AI and machine learning, it creates an adaptable and efficient fraud detection process.

Machine learning refers to computers utilizing data and previous records to improve, alter, and correct their algorithms without human intervention. This allows algorithms to evolve alongside the changing nature of the fraudulent activity, keeping pace with the ever-shifting behavior of fraudsters. When combined with speech analysis technology such as NLP, machine learning programs can learn to track the speech, language, and behavioral indicators that suggest fraudulent intent.

In advanced anti-fraud technologies, these systems can be backed by detailed behavioral analytics which are able to detect fraud from the first phone call, driving end-to-end fraud management.

What features can speech analysis AI recognize?

Speech analysis AI technology can identify and flag various critical indicators of fraudulent intent.  Emotion, tone, speech patterns, behavioral indicators, and more can be rapidly identified without human involvement. Certain features are commonly presented in those with fraudulent intent, including negation, latency, and extreme emotional reactions (especially when confronted or questioned). These features can easily slip past even the most experienced customer service agents, who are often handling several calls an hour with varying demands—which creates a fast-paced environment where fraudsters can take advantage. Customer service agents need to be able to focus their attention on providing high-quality customer service. Speech analysis AI takes over the responsibility of fraud detection and prevention, allowing insurers to maintain high standards of customer service.

Pattern recognition also provides essential benefits for fraud prevention. For example, whether a fraudulent organization is attempting to target a call center or other points of contact, it is unlikely that its operatives will speak to the same customer services agent twice. This is exploitable without comprehensive anti-fraud cover, allowing fraudsters to give inconsistent accounts without detection. Automated detection systems record claims, alongside any suspicious language or speech characteristics, allowing customer service agents to access accurate customer history and see any warnings for potential fraudulent intent.

What makes automated fraud detection so crucial for the future of the insurance sector?

Fraud is a fast-evolving crime, with fraudulent individuals and organizations constantly adapting to find new flaws to exploit. Automation is far better at evolving alongside fraud compared to human-led anti-fraud measures. The combination of machine learning and speech analytics technology can immediately track any changes in fraudulent behavior and any patterns of inconsistency. If the insurance industry wants to fight any future moves made by fraudsters, they need to invest in AI systems to stay on pace with changing trends.

Crucially, companies must also not lose sight of maintaining positive customer interactions. Voice recognition AI empowers customer service agents to continue providing the best possible service to every customer while fraud detection is monitored in the background. As a result, customers are not placed under excessive scrutiny—which would potentially generate discomfort in interpersonal interactions—and can instead have the full attention of the employee they are interacting with.

What are the additional benefits of implementing voice recognition AI?

The benefits of implementing speech analytics AI in the insurance sector are not limited to anti-fraud measures. The detection of sentiment, speech, and language made possible through speech analytics AI can also be utilized for customer protection. Indicators of discomfort, confusion, or susceptibility can quickly identify customer vulnerability, alerting customer service agents so they can implement any additional provisions necessary for their safety and security.

Regulatory compliance is also a dominant issue in insurance, with regulations increasing in complexity over recent years. Speech analytics and AI integration vastly improve record-keeping, especially for audio and video data, previously seen as more challenging to categorize. If necessary, companies can quickly access evidence of compliance to the relevant regulatory bodies, whether in response to an accusation or to demonstrate competency in record keeping.

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Nigel Cannings // Nigel Cannings is Chief Technology Officer of Intelligent Voice, a provider of proactive compliance and eDiscovery technology solutions for voice, video and other media. Its clients include insurance companies, government agencies, banks, securities firms, call-centers, litigation support providers, international consultancy, advisory businesses and insurers, all involved in the management of risk and meeting of multi-jurisdictional regulation. Cannings’ 25 year career has spanned law and technology which gives him a unique perspective as client and user. He is the founder of Intelligent Voice Ltd and a pioneer in all things voice. Cannings is also a regular speaker at industry events not limited to NVIDIA, IBM, HPE and AI Financial Summits.

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