Abstract
In this paper we perform an exploratory study on the design of claim fraud detection for a typical property and casualty (P&C) insurance company using cost-sensitive classification. We contrast several cost incorporation scenarios based on different assumptions concerning the available cost information at claim screening time. Our empirical trials are based on a data set of real-life Spanish closed automobile insurance claims that were previously investigated for suspicion of fraud by domain experts and for which we obtained detailed cost information. The reported results show the added value of cost-sensitive claim fraud screening and provide guidance on how to operationalize this strategy.
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© 2004 Springer-Verlag Berlin Heidelberg
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Viaene, S., Van Gheel, D., Ayuso, M., Guillén, M. (2004). Cost-Sensitive Design of Claim Fraud Screens. In: Perner, P. (eds) Advances in Data Mining. ICDM 2004. Lecture Notes in Computer Science(), vol 3275. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-540-30185-1_9
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DOI: https://doi.org/10.1007/978-3-540-30185-1_9
Publisher Name: Springer, Berlin, Heidelberg
Print ISBN: 978-3-540-24054-9
Online ISBN: 978-3-540-30185-1
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