Kathmandu: The global insurance fraud detection market had a turnover of about 2,710 USD million in 2020. With the increasing use of fraud detection services in small and medium enterprises, the market is projected to grow at an average rate of 25.6% between 2021-2026 and reach 10,749 million USD in 2026.
A research done by Global News Wire attributes the growth of the market to the survilience of insurance fraud to technology integration in research services, including Artificial Intelligence(AI), Machine Learning (ML) and the Internet of Things (IoT).
With the outbreak of the coronavirus epidemic, and the subsequent digitization of operations, increasing cases of cyber attacks and identity theft are encouraging the market growth of fraud detection services. With the proliferation of electronic retail sales networks and mobile banking applications, the adoption of authentication solutions such as biometrics is on the rise. Demand for this speciality has grown significantly as a result of recent corporate scandals. In addition, the healthcare sector is investing heavily in fraud detection services due to the unexpected rise in the number of suspicious claims worldwide, which is boosting the market.
Moreover, with the availability of cost-friendly, effective, and advanced fraud detection services, small and medium enterprises are using fraud analysts in their operating systems to protect businesses from the potential risk of increasing fraud, hence, the emphasis on market growth.