Leading insurance company, esure, has won a prestigious global award for implementing a cutting-edge predictive analytics solution to combat fraud.
The business has landed a Celent ‘Model Insurer’ award for the significant return on investment it has delivered across its motor insurance division.
Winners of the awards were officially announced at Celent’s Innovation and Insight Day at the company’s New York offices on Friday 12th April 2019.
esure’s Fraud Investigation Team became aware of a potential gain in the advanced use of motor claim data, to complement current practices in the prevention and detection of fraud.
The company implemented Precision, a pioneering predictive analytics solution from Synectics Solutions which combines sophisticated techniques, machine learning algorithms and expert data science to generate previously unseen insights into its data.
esure’s investigation team used Precision to reduce the time taken to detect and identify fraud, and fast-track genuine claim validation to speed up and improve the customer journey.
After deploying the solution, esure saw an immediate 12% increase in crash for cash fraud cases retained for investigation during the first nine months of the project, with one in six claims retained for investigation becoming sourced from Precision.
esure now expects to have delivered a multi-million pound benefit by the end of 2020, with an anticipated net return on investment of 15 to one.
The system has led to a reduction in the time between claim notification and case retention and has helped the productivity and efficiencies of the esure investigation team, allowing them to put the most urgent fraud cases first and reducing the time taken to assign cases requiring investigation by over 50%.
Celent is a global financial services research and advisory firm for the financial services industry and the annual Model Insurer Awards recognise the best practices of technology usage in different areas critical to success in insurance.
esure were winners of the ‘Model Insurer’ prize in the Data, Analytics and AI category and nominations, submitted by insurance carriers, undergo a rigorous evaluation process by Celent analysts.
Celent judge submissions on three core criteria which include demonstrable business benefits of live initiatives, the degree of innovation relative to the industry and the technology or implementation excellence.
Matt Gilham, Head of Financial Crime at esure, said: “We are extremely proud of the Celent award which demonstrates the huge strides we have made in our fraud prevention and detection strategies.
“Deploying Precision has enabled us to gain a cutting-edge insight into fraud detection and make substantial savings which would otherwise have been lost to fraud.
“Working with Synectics Solutions, this solution has allowed the team to speed up detection of fraud, as well as improve operational efficiencies.”
Osman Khurshid, Precision Product Manager at Synectics Solutions, said: “We are delighted that esure has won this award which shows they are a company at the forefront in terms of fraud detection and prevention.
“It’s extremely pleasing to see the significant impact that Precision has had on esure’s motor insurance division and the positive return on investment it has had for the company.”
An esure case study highlighting the initiative will be featured in a forthcoming Celent report.
Nicolas Michellod, Senior Analyst at Celent, added: “The Model Insurer Awards recognize how insurers are using technology to change the face of insurance. These insurance carriers should serve as an inspiration to others looking for strong examples of best practice implementation that will have a truly meaningful impact on business results and the industry overall. The entry from esure clearly demonstrated this.”