Claims Experts Use Data Analytics To Combat Workers Comp Fraud

Claims fraud continues to drive workers compensation costs up, driving payers to look for new ways to combat it. Much like on the underwriting side of the insurance business, data and the use of technology to analyze it is seen by experts as a major development in improving efficiency and detecting problems. The use of technology to sift through massive amounts of data to spot trends and anomalies will help claims professionals spot fraud more quickly, experts say. Given the state-based workers comp system, it’s hard to get firm estimates on workers comp fraud nationally, but a figure often quoted for the whole property/ casualty sector is the National Insurance Crime Bureau’s estimate that it’s a $30 billion annual problem in the U.S. The NICB does not provide an estimate for the workers comp sector alone.