Dublin, July 04, 2019 (GLOBE NEWSWIRE) -- The "Insurance Fraud Detection Market by Component (Solutions, Service) Application Area (Claims Fraud, Identity Theft, Payment and Billing Fraud, & Money Laundering), Deployment Mode, Organization Size & Region - Global Forecast to 2024" report has been added to ResearchAndMarkets.com's offering.
The global insurance fraud detection market size is expected to grow from USD 2,518 million in 2019 to USD 7,928 million by 2024, at a Compound Annual Growth Rate (CAGR) of 25.8% from 2019 to 2024.
The market study covers the insurance fraud detection market across segments. It aims at estimating the market size and the growth potential of the market across segments, such as component (solution (fraud analytics, authentication, and GRC solutions) and services), deployment type, organization size, and region.
The study also includes an in-depth competitive analysis of the key players in the market, along with their company profiles, key observations related to product and business offerings, recent developments, and key market strategies. Major vendors in the global insurance fraud detection market include FICO (US), IBM (US), BAE Systems (UK), SAS Institute (US), Experian (Ireland), LexisNexis (US), iovation (US), FRISS (Netherlands), SAP (Germany), Fiserv (US), ACI Worldwide (US), Simility (US), Kount (US), Software AG (Germany), BRIDGEi2i Analytics Solutions (India), and Perceptiviti (India).
The exponential rise in the sophistication of cyber attacks insurance sector and substantial monetary losses due to these attacks will drive the overall insurance fraud detection market
Various factors, such as exponential rise in the sophistication level of cyber-attacks and huge monetary losses due to these attacks in the insurance sector, are expected to drive the market. However, lack of awareness among organizations about the importance of fraud detection solutions and improper implementation coupled with the lack of integration of fraud detection solutions across organization networks may restrain the market growth.
Solution segment to hold a larger market size during the forecast period
The solution segment is expected to hold a larger market size in the fraud detection market during the forecast period. Fraud detection vendors help insurance organizations to tackle the security challenges and threats they pose due to the increased adoption of digital technologies such as IoT and BYOD in their organizations to enhance the customer experience. The solutions are classified into fraud analytics, authentication, and governance, risk, & compliance (GRC) solutions.
Fraud analytics is a discipline which involves a set of analytical techniques that analyze enterprises' systems and database to identify the vulnerabilities where fraud can happen. These solutions monitor and analyze data from several data sources; detect anomalies and suspicious & unusual behavior across all channels; and provide a control mechanism to prevent fraudulent practices, in real-time.
The authentication solution helps enterprises in validating the identity of the transactions between the individuals as well as restricting any unauthorized access across organizations networks, servers, and other infrastructure. GRC solution is implemented across enterprises to manage business risks and abide with regulatory compliance environment. The various advantages that these solutions offer to the insurance sector in handling their security challenges will force the organizations to adopt insurance fraud detection solutions on a large scale.
Among deployment type, cloud deployment segment to grow at a higher CAGR during the forecast period
Under deployment type, insurance fraud detection market is segmented by cloud and on-premises. The cloud deployment type is set to grow at a higher CAGR during the forecast period. The deployment of cloud-based insurance fraud detection solutions is done over the internet, where software, infrastructure, platforms, devices, and other resources are provided as services on a pay-per-use basis by consumers.
The cloud-based platform offers a unified way in the form of SaaS-based insurance fraud detection services to secure business applications. Cloud-based systems are comparatively less expensive than on-premises deployment, thus permitting businesses to reduce IT expenses, including hardware and support staff. Owing to these factors, organizations are adopting the cloud-based deployment type for deploying fraud detection solutions on a large scale.
North America to account for the largest market size, whereas APAC to grow at the highest CAGR
North America is projected to hold the largest market size of the insurance fraud detection market during the forecast period, owing to the early adoption of the insurance fraud detection solutions in the region. Protecting enterprise-critical infrastructures and sensitive data has become one of the major challenges, as the world is moving toward interconnections and digitalization.
The growing trends, such as IoT, IoE, and penetration of smartphones, have increased the volume of data and transactions performed by online users. Moreover, mobile users are frequently targeted by fraudsters, as online mobile banking has become a popular method of making financial transactions.
The rise in threats and vulnerabilities and government compliances has made North America the most lucrative industry for different categories of vendors. The concentrated presence of a large number of insurance fraud detection solution and services providers in the US is also expected to drive revenue growth from the region.
The APAC market is expected to grow at the highest CAGR during the forecast period, owing to the rise in the threat of frauds at an alarming rate in the insurance sector in this region, thus driving an increase in spending on insurance fraud detection solutions.
Key Topics Covered
1 Introduction
1.1 Objectives of the Study
1.2 Market Definition
1.3 Market Scope
1.4 Years Considered for the Study
1.5 Currency Considered
1.6 Stakeholders
2 Research Methodology
2.1 Research Data
2.2 Market Size Estimation
2.3 Market Forecast
2.4 Assumptions for the Study
2.5 Limitations of the Study
3 Executive Summary
4 Premium Insights
4.1 Attractive Market Opportunities in the Insurance Fraud Detection Market
4.2 Market By Component, 2019-2024
4.3 Market By Solution, 2019-2024
4.4 Market Share of Top 3 Solutions and Regions, 2019
4.5 Market By Organization Size, 2019
4.6 Market By Organization Size, 2019
4.7 Market Investment Scenario
5 Market Overview and Industry Trends
5.1 Introduction
5.2 Market Dynamics
5.2.1 Drivers
5.2.1.1 Need to Effectively Manage Huge Volumes of Identities By Organizations
5.2.1.2 Increasing Adoption of Advanced Analytics Techniques
5.2.1.3 Improved Operational Efficiency and Enhanced Customer Experience
5.2.1.4 Stringent Regulatory Compliances
5.2.2 Restraints
5.2.2.1 Insurance Institutions Lack Awareness Regarding Fraud Detection Solutions
5.2.3 Opportunities
5.2.3.1 Increasing Adoption of IoT and BYOD Trends
5.2.3.2 Proliferation of Cloud-Based Insurance Fraud Detection Solutions and Services Among Global Organizations
5.2.4 Challenges
5.2.4.1 Improper Implementation and Lack of Integration of Fraud Detection Solutions Across Organization Networks
5.3 Regulatory Compliances
5.3.1 Know Your Customer (KYC)
5.3.2 Anti-Money Laundering (AML)
5.3.3 General Data Protection Regulation (GDPR)
5.3.4 Electronic Identification, Authentication, and Trust Services (EIDAS)
5.4 Innovation Spotlight
5.5 use Cases
5.5.1 Insurance Fraud Detection By BAE Systems
5.5.2 Claims Fraud Detection in Insurance, By Aureus Analytics
5.5.3 Optimizing Investigation Process for Identifying Additional Premium Opportunities, By Prads Inc.
6 Insurance Fraud Detection Market By Component
6.1 Introduction
6.2 Solutions
6.2.1 Increasing Fraudulent Activities to Drive the Adoption of Insurance Fraud Detection Solutions
6.3 Services
6.3.1 Demand for Seamless Experience and Personalised Services to Contribute to the Growth of Services Market
7 Insurance Fraud Detection Market By Solution
7.1 Introduction
7.2 Fraud Analytics
7.2.1 Predictive Analytics
7.2.1.1 Predictive Analytics Solutions Help Identify Potential Threats, Payment Frauds, Frauds in Insurance Processes, and Credit/Debit Card Frauds
7.2.2 Descriptive Analytics
7.2.2.1 Descriptive Analytics Involves the Interpretation of Historical Data to Yield Useful Information
7.2.3 Social Media Analytics
7.2.3.1 Social Media Analytics Tools Help Identify Suspicious Patterns Through Specialized Algorithms for Effective Fraud Detection in the Insurance Sector
7.2.4 Big Data Analytics
7.2.4.1 Need for Advanced Analytical Solution That Proactively Defends Against Fraudulent Activities to Drive the Adoption of Big Data Analytics Solutions in the Insurance Sector
7.3 Authentication
7.3.1 Single-Factor Authentication
7.3.1.1 Need for Simple and Less Complex Form of Authentication Solution to Boost the Growth of Sfa
7.3.2 Multi-Factor Authentication
7.3.2.1 the Demand for Mfa to Secure the Data and Information Against Frauds to Provide Massive Opportunities to Mfa Solution Providers
7.3.3 Risk-Based Authentication
7.3.3.1 Need to Analyze Risk Levels and Apply Stringent Authentication Processes to Boost the Growth of Rba Solutions
7.4 Governance, Risk, and Compliance
7.4.1 Enterprises Widely Adopting Governance, Risk, and Compliance Solutions to Ensure the Fraud Management Systems are Up-To-Date
7.5 Others
8 Insurance Fraud Detection Market By Service
8.1 Introduction
8.2 Professional Services
8.2.1 Consulting Services
8.2.1.1 Consulting Services Help Optimize Organizations' Ability to Consume, Analyze, and Apply Insurance Fraud Detection Solutions to Protect Their Assets
8.2.2 Training and Education
8.2.2.1 Lack of Skilled Security Professionals Driving the Adoption of Training and Education Services
8.2.3 Support and Maintenance
8.2.3.1 Support and Maintenance Service Providers Help Enterprises in Providing Installation, Maintenance, and Other Support Activities
8.3 Managed Services
8.3.1 Managed Services Gaining Popularity as They Help Organizations Meet the Compliance Needs
9 Insurance Fraud Detection Market By Application Area
9.1 Introduction
9.2 Claims Fraud
9.2.1 Rise in Fraudulent Claims in Healthcare, Life, and Motor Insurance Areas
9.3 Identity Theft
9.3.1 Fraud Detection Solutions Actively Implemented By Enterprises to Prevent Theft of Identities for Financial Crime
9.4 Payment Fraud and Billing Fraud
9.4.1 Due to Growing Popularity of Online Money Transactions, Electronic Payment Frauds has Become a Serious Issue
9.5 Money Laundering
9.5.1 to Prevent Money Laundering, Governments Across the World Adopting New Laws and Regulations
10 Insurance Fraud Detection Market By Deployment Mode
10.1 Introduction
10.2 Cloud
10.2.1 Low Cost of Installation, Upgrade, and Maintenance to Increase the Adoption of Cloud-Based Insurance Fraud Detection Solutions
10.3 On-Premises
10.3.1 Need to Secure the In-House Applications, Platforms, and Systems Against Operational Frauds to Fuel the Demand for On-Premises Deployment Mode
11 Insurance Fraud Detection Market By Organization Size
11.1 Introduction
11.2 Small and Medium-Sized Enterprises
11.2.1 Growing Fraudulent Activities to Drive the Adoption of Insurance Fraud Detection Solutions Among Small and Medium-Sized Enterprises
11.3 Large Enterprises
11.3.1 Rise of Financial Losses and Hefty Fines for Regulatory Non-Compliance to Boost the Adoption of Insurance Fraud Detection Solutions Among Large Enterprises
12 Insurance Fraud Detection Market By Region
12.1 Introduction
12.2 North America
12.2.1 United States
12.2.1.1 Increasing Investments By the Insurance Sector in Fraud Detection Solutions to Drive the Growth of Market in the US
12.2.1.2 99
12.2.2 Canada
12.2.2.1 Government Initiatives to Safeguard Network Systems Against Frauds Driving the Growth of Market in Canada
12.3 Europe
12.3.1 United Kingdom
12.3.1.1 Growing Trend of Byod and Increased use of Applications in Enterprises and Threat to Organizational Data Driving the Growth of Market in the United Kingdom
12.3.2 Germany
12.3.2.1 Rising use of Online Transactions to Pay Premiums and Increasing Threat to Confidential Information Driving the Growth of Market in Germany
12.3.3 France
12.3.3.1 Rising Money Laundering and Identity Impersonation to Fuel the Growth of Market in France
12.3.4 Rest of Europe
12.4 Asia Pacific
12.4.1 China
12.4.1.1 Increasing Need to Secure APIs, Mobile Apps, and Websites From Fraudsters to Contribute to the Growth of Market in China
12.4.2 Japan
12.4.2.1 Rise in the Number of Potential Frauds Due to High Internet Penetration to Fuel the Growth of Market in Japan
12.4.3 India
12.4.3.1 Growing Adoption of Fraud Detection Solutions in the Insurance Sector Due to Rise of Mobile Applications Use, Digitalization of Various Services, and Rise in Fraud Attacks to Drive the Adoption of Insurance Fraud Detection Solutions on a Large Scale in India
12.4.4 Rest of Asia Pacific
12.5 Middle East and Africa
12.5.1 Middle East
12.5.1.1 7.5.2.1 Increasing Frauds in the Insurance Vertical to Drive the Growth of Insurance Fraud Detection Market in the Middle East
12.5.2 Africa
12.5.2.1 Hefty Financial Losses Due to Fraudulent Attacks Across the Insurance Organizations to Contribute to the Growth of Market in Africa
12.6 Latin America
12.6.1 Brazil
12.6.1.1 126
12.6.1.2 Increasing Investments By SMES and Large Enterprises Due to Growing Frauds Across Endpoints, Networks, and Applications to Drive the Growth of Market in Brazil
12.6.2 Mexico
12.6.2.1 Increasing Fraud Attacks on Insurance Verticals to Drive the Growth of Market in Mexico
12.6.3 Rest of Latin America
13 Competitive Landscape
13.1 Introduction
13.1.1 Visionary Leaders
13.1.2 Innovators
13.1.3 Dynamic Differentiators
13.1.4 Emerging Companies
13.2 Competitive Benchmarking
13.2.1 Analysis of Product Portfolio of Major Players in the Market
13.2.2 Business Strategies Adopted By Major Players in the Market
13.3 Competitive Scenario
13.3.1 Partnerships, Agreements, and Collaborations
13.3.2 Mergers and Acquisitions
13.3.3 New Product Launches/Product Enhancements
13.3.4 Business Expansion
14 Company Profiles
14.1 Introduction
14.2 FICO
14.2.1 Business Overview
14.2.2 Products and Services Offered
14.2.3 Recent Developments
14.2.4 SWOT Analysis
14.3 IBM
14.4 BAE Systems
14.5 SAS Institute
14.6 Experian
14.7 LexisNexis
14.8 Iovation
14.9 FRISS
14.10 SAP
14.11 Fiserv
14.12 ACI Worldwide
14.13 Simility
14.14 Kount
14.15 Software AG
14.16 BRIDGEi2i Analytics Solutions
14.17 Perceptiviti
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