Leading car insurance specialist finds £250,000+ in suspected fraud within first nine days
LONDON—March 15, 2012—FICO (NYSE:FICO), the leading provider of analytics and decision management technology, today announced that the UK motor insurance specialist Admiral has deployed a new claims fraud system based on FICO analytics, business rules and link analysis technology. This system, which went live earlier this month, has already improved the ability of Admiral’s fraud team to detect suspicious claims and prioritize cases.
“We chose a groundbreaking solution to get groundbreaking results,” said Susan Evans, fraud operations manager for UK Operations at Admiral. “FICO’s development of predictive models for our business, and our implementation of their combined solution, has been a tremendous success. In the first nine days since the system went live, we have found more than £250,000 in suspected fraud.”
The FICO motor fraud solution at Admiral integrates three technologies for multi-layered protection. Predictive analytics score each motor insurance claim submitted to Admiral’s claims centers to identify out-of-pattern or high-risk claims before payment. The FICO® Blaze Advisor® business rules management system enables Admiral’s fraud investigators to set rules for known fraud factors, and to address new fraud patterns quickly with new rules without involving their IT department. And an advanced link analysis tool then looks for similarities between suspicious claims and claims that are known to be fraudulent in order to find and respond quickly to otherwise unidentified instances of fraud. Detecting organized fraud rings is vital and the visual link analysis technology helps investigators find patterns quicker.
“Motor insurance is the top insurance fraud category in the UK,” said Mike Gordon, vice president and managing director for FICO in Europe, the Middle East and Africa. “Admiral’s approach to this problem is more advanced than the current standard practice in the insurance industry — not just in the UK, but in the world.”
The Admiral Group (http://www.admiralgroup.co.uk/) launched in 1993 and includes the brands Admiral, elephant.co.uk, Diamond and Bell. It employs more than 4,600 people in the UK and has more than 3 million UK customers. Admiral Group plc is a UK FTSE 100 company.
FICO (NYSE:FICO), formerly known as Fair Isaac, delivers superior predictive analytics solutions that drive smarter decisions. The company’s groundbreaking use of mathematics to predict consumer behavior has transformed entire industries and revolutionized the way risk is managed and products are marketed. FICO’s innovative solutions include the industry-leading solutions for measuring credit risk, managing credit accounts, identifying and minimizing the impact of fraud, and customizing consumer offers with pinpoint accuracy. Most of the world’s top banks, as well as leading insurers, retailers, pharmaceutical companies and government agencies, rely on FICO solutions to accelerate growth, control risk, boost profits and meet regulatory and competitive demands.
Statement Concerning Forward-Looking Information
Except for historical information contained herein, the statements contained in this news release that relate to FICO or its business are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including the success of the Company’s Decision Management strategy and reengineering plan, the maintenance of its existing relationships and ability to create new relationships with customers and key alliance partners, its ability to continue to develop new and enhanced products and services, its ability to recruit and retain key technical and managerial personnel, competition, regulatory changes applicable to the use of consumer credit and other data, the failure to realize the anticipated benefits of any acquisitions, continuing material adverse developments in global economic conditions, and other risks described from time to time in FICO’s SEC reports, including its Annual Report on Form 10-K for the year ended September 30, 2011, and its latest quarterly report for the three months ending December 31, 2011. If any of these risks or uncertainties materializes, FICO’s results could differ materially from its expectations. FICO disclaims any intent or obligation to update these forward-looking statements.
FICO, Blaze Advisor and “Make every decision count” are trademarks or registered trademarks of Fair Isaac Corporation in the United States and in other countries.