Claims fraud detection is a crucial topic for insurance companies. The current economic environment makes it difficult for firms to generate underwriting profits. In this context, identifying and fighting fraudulent claims represents a key lever to improve loss ratios.

In the report The Market Dynamics of Claims Fraud Detection: Deal, Functionality, and Technology Trends, Celent provides an overview of the market for claims fraud detection systems. The report describes the anticipated evolution of claims fraud detection system deals and looks at how vendors will try to improve their solutions in terms of both functionality and technology.

“Claims fraud detection is an area where insurance companies will drastically increase their investments in the next three to five years.” says Nicolas Michellod, Senior Analyst with Celent’s Insurance Group and author of the report. “The pace of insurers’ investments in claims fraud detection systems will depend on their understanding of the importance of analyzing data using modern technologies.”

Celent profiled IT vendors active in the claims fraud detection area in November 2012. This report examines trends in the market. Additionally, the report is informed by the findings of a survey launched in the beginning of 2013 regarding insurers’ views on the role and importance of data.

This 22-page report contains 11 figures and 4 tables.