The challenge
In the UK £150 million is paid out each year in compensation for delayed train journeys. Train operating companies (TOCs) estimate that anywhere between 10-30% of the claims that they pay out are fraudulent; individuals claiming compensation for trains they were never on or making multiple claims using a system of false names and addresses.
Until now the only real option for identifying fraudulent claims was a retrospective hunt through vast amounts of claims data but once a claim has been paid it is a lengthy and expensive process to try and recoup the lost money. Many TOCs believe that this is a problem that they simply have to live with.
The solution
UP3's Rail Fraud application for train operating companies is the first solution to detect fraudulent compensation claims as they are being processed and prevent the claim from being paid.
20 fraud indicators
Most approaches to detecting fraud rely on one or two indicators such as high-frequency claimants and impossible journeys. UP3’s Rail Fraud application contains 20 out-of-the-box fraud indicators which can detect up to 80% of fraudulent activity. By combining indicators, we can detect fraud at much lower levels of activity.
Connected consumers map
By connecting claimants by their contact details, we can identify individuals who may have submitted claims using false names or addresses or, in some cases, where individuals are part of a larger organised crime unit who are working together to commit claim fraud.
Adaptive analytics
In times of train disruption, the number of claims that are made across the network increases significantly. Our application detects system-wide increases in claims and adjusts our indicators accordingly to prevent false positives from being reported.
Journey validation
Our Journey Validator application sits within the compensation case and allows agents to quickly validate whether the journey being claimed for was delayed without the need to log into separate systems and wait for queries to be returned.
Journey timeline
To assist agents with their investigation of potential fraud cases we map all the claims that an individual, and their connections, have made over the last 6 months on a timeline to show where multiple journeys and duplicate claims are being made.
Eliminate legitimate frequent claimants
Significant time can be wasted investigating high-frequency claimants only to discover that the individual works as an administrator and is filing claims on behalf of a department or group of individuals. Our application allows you to eliminate these individuals from fraud checks
Initial Release
There are no prerequisites to using this application, however for best results we recommend using Rail Fraud with our Rail Claim application or with the CSM product family however this application can be used to monitor fraud on any tables.