Fraud has gone high tech, with the potential damage that hackers using the internet can become a real danger. Now the industry is starting to use high-tech methods to fight back.
Trying to find reliable statistics about the extent of high-tech insurane fraud is a pretty forlorn task, especially as it is only detected fraud that can ever be quantified – and this is likely to be the tip of the iceberg. Furthermore, definitions of ‘high tech’ vary widely. So, not surprisingly, statisticians find it easier to lump the figures together with those for fraud in general.
Christian van Leeuwen, Chief Technology Officer at FRISS, gives an example: “It’s very easy to buy images of damaged vehicles online. So some people send images both of their own car with its number plate and of another similar vehicle that has been badly smashed up. But we can pick this up. Our current estimate is that about one in every 500 claims involves a manipulated photo.”
Van Leeuwen believes that high-tech fraud is currently a more serious problem for motor insurance than for household insurance. But he feels that household insurance could catch up. As a taster of what may be to come, he highlights that burglars in some European countries are already using drones to fly near windows to see if there is anything worth stealing.