A Real time Application for Insurance fraud detection using Machine learning

Abstract

Insurance is something people buy to protect themselves. Insurance fraud is an act of receiving the benefits to which they are not entitled or when a person makes false claims to receive the benefits. The type of insurance fraud are diverse and it occurs in all areas of insurance, among them Auto/vehicle insurance is the most noticeable one. Detecting insurance fraud is the major issue and it is hard through Traditional method as it is more time consuming and expensive, hence it needs an automatic system, so that one can detect whether the claim is genuine or fraud. Through the use of advanced technology like machine learning insurance fraud detection can be done in an efficient way. Here, we focus on identifying the auto/vehicle fraud through the use of machine learning algorithms. Likewise, the performance will be computed by the confusion matrix. Which in turn calculate the accuracy, precision, and recall