According to the startup, much of today’s insurance fraud detection is done manually and as a result only around 15% of fraud cases are ever detected. Shift Technology, it claims, has developed a platform for detecting cases of potential fraud and dealing with claims.
The platform uses big data analytics and machine learning to find suspicious claims, detect the type of fraud that is being attempted, and finding the cases that need further investigation. Through repeated use and feedback, the platform becomes more intuitive. The startup added that it detects 75% of fraud cases, compared with the industry average of 30-35%.
"When using Shift, companies meet their savings expectations in a few months. This investment will help us to continue innovating in the claim sector and strengthening our global presence,” said Jeremy Jawish, CEO of Shift Technology.
The startup, founded in 2014, serves clients in Europe, North and South America, and Asia and previously raised a $1.8 million seed round.
This fresh round of funding will be used to further develop its product and add to its employee numbers. Accel’s Sonali de Rycker will be joining the company’s board as part of the investment.
“The customer traction to date has been very exciting, and we look forward to partnering with the team as they continue to revolutionise insurance fraud detection,” said de Rycker.