Should we inform our customers exactly how we are analysing their claim or application?

For much of the past, customers have been largely unaware of what formed part of any process instigated to validate their claim or application. Additionally, we have only previously been able to take at best an educated guess as to whether a claim was suspicious or not, resulting in the possibility of both the genuine and the fraudsters being subjected to scrutiny. Indeed some of the more traditional methods, including profiling, financial status checking and surveillance, could be considered to be in the grey zone when it comes to whether or not it is ethical to use them at all.

Recent regulation and guidance in a variety of areas has assisted in removing some of that greyness. DigiLog recommends as a minimum that companies inform customers who phone in to their call centres that all telephone calls relating to applications and claims may be tape recorded and analysed for the purposes of fraud prevention and detection.

We recommend that companies are quite open about using the VRA technique as part of an overall process designed to sift the truthful from the disingenuous. After all, the concept is not new. Human beings have been using their own computer “ i.e. their brain, to assess truth or deception in conversations since we first learned to communicate. Publicising the use of VRA and associated AVS techniques, does two jobs “ reinforcing the stance against premium inflating fraudsters for the benefit of the honest, whilst acting as a deterrent to those that are thinking of cheating.