March 22, 2018
March 13, 2018
The insurance industry is in the midst of transforming digitally. Insurers worldwide are adopting digital tools to reduce costs, realize operational efficiencies, compete with emerging business models, and deliver streamlined customer experiences.
Digital customers now rely on digital channels to apply for insurance policies, file claims, cash out annuities, add beneficiaries, or take out loans. However, unlike other industries, each step of the customer journey also requires other touchpoints including calling into a contact center or IVR system, live chat, text or email.
Given the complex user journey, insurers not only need to build a digital presence but also find a way to integrate these channels into existing ones. Insurers continue to face operational silos and legacy systems, which fail to provide a cross-channel understanding of their customers, many of which are still learning how to go digital.
The problem is further exacerbated by increased attention from cybercriminals, who have taken notice of the multifaceted insurance landscape which involves several distribution channels, limited customer interactions, and low customer awareness. In a post-breach world, cybercriminals now have access to a plethora of stolen identity credentials, enabling them to masquerade as legitimate users behind the cloak of the internet.
Fraudsters are targeting insurers not only to gain access to customer data but also to gain access to real funds through the annuity and life insurance business. Once fraudsters obtain login credentials through breaches, phishing scams, or other sophisticated attacks, they can takeover legitimate user accounts – converting deferred to immediate annuities, cashing out annuities, or transferring disbursements elsewhere. What makes annuity and retirement accounts so vulnerable is that often times consumers fail to regularly review these types of accounts, as withdrawals are not typically needed until well into the future.
The ability to share information across digital, contact center, and IVR channels is critical for facilitating a streamlined customer experience and reducing fraud, to ensure that not only a customer logging in to make changes is the legitimate trusted user, but also to look across channels to determine for example, whether a user calling the contact center requesting to reset his or her password is truly the legitimate user of the retirement account that they are attempting to access online. Identity assurance across channels ensures that fraudsters are accurately detected and blocked, while legitimate customers enjoy a frictionless experience.
With ThreatMetrix, insurers can determine if a user is who they claim to be regardless of whether they access a digital channel (website, email, live chat, etc.), call center, or IVR system. ThreatMetrix provides insurers with a consolidated view of the user by combining global shared intelligence with internal and external static and dynamic data sources across all channels to more accurately detect fraudulent activity in real time before it impacts the bottom line. ThreatMetrix can reduce risk and streamline the customer experience by:
ThreatMetrix Smart Analytics provides an extremely powerful way of detecting and analyzing real-time changes in user behavior by using advanced behavioral analytics and machine learning. Based on a user’s history derived from The Network, ThreatMetrix behavioral model uses behavior and metadata for automated detection of user behavior patterns and anomalies. This helps insurers more accurately differentiate between true fraud and changes in legitimate behavior, resulting in a reduction to the step-up frequency without increasing overall risk. The Smart Analytics toolset allows insurers to create custom variables, rules, models and policies to analyze patterns specific to their organization as well as their users, and automate responses for transactions. Transactions that ag as high-risk can be automatically rejected or routed to the appropriate authentication or identity verification service for step-up, while legitimate users experience no friction. Insurers can confidently detect: