Fraud detection is an integral part of any payment management operation. Whether you are in charge of safeguarding payments for a bank, third party payment service provider, a card issuer or an acquirer, payment fraud for financial institutions faces ever-increasing challenges. There are many fraud patterns with which to contend in battling malware, trojans, man in the middle, phishing, skimming, and cyber hacking, to name a few, and each are constantly evolving by the fraudsters to avoid detection. The burden continues to be on financial institutions to protect their customers from fraud losses and comply with mounting national and international regulations and mandates.
Insurance companies want to maximize customer satisfaction, reduce the costs of claim handling by optimizing their processes, comply with regulations, lower fraudulent claim losses and be able to achieve this all within an insurance company’s cost contained budget. Claims consume nearly 80 percent of insurance premiums in the form of payments, fraudulent losses or processing costs, according to PwC. Therefore every insurance executive is justifiably concerned about optimizing claims management and fraud detection.
Effectively managing claims is a complex task. With so many steps and variations in each
process, it is no wonder that insurers struggle to consistently improve claims operations.