As motor vehicle agencies become more digital (e.g., mobile driver’s license, autonomous vehicles, electronic titles and liens, connected devices etc.), they add new channels (APIs, mobile devices, Wi-Fi, or cellular networks) for delivering services and accessing customer data. While this connectivity improves efficiencies and customer experience, it also increases data exposure, making motor vehicle agencies vulnerable to fraudulent activities.
There are high costs associated with fraud detection and investigation. Despite best efforts, many criminal activities are not prevented or even identified. Gathering sufficient evidence for prosecution is difficult and the public’s confidence in the security of their data gets undermined.
Artificial intelligence (AI) technologies, faster 5G networks, and Internet of Things (IoT) data can provide motor vehicle agencies with greater information to facilitate machine learning models for detection of suspicious activities, patterns and queries by users and customers alike.
Artificial Intelligence (AI) Solutions can combine these technologies to help motor vehicle agencies detect and prevent fraudulent and illegal activities. They can enable agencies to ingest transaction data in real-time and analyze it through augmented models of behavior based on self-teaching algorithms. The AI systems can stop or flag transactions for investigative purposes and incorporate adaptive self-learning from historical and ongoing transactions, data patterns and investigators’ feedback to update its models continuously and automatically in near real-time. This allows motor vehicle agencies to proactively monitor and identify potentially fraudulent activities based on known fraud patterns and detect frauds in transactions.
Fraudulent behavior differs from one industry and jurisdiction to another. The solutions should offer a flexible and automated learning (trends and anomalies) environment for each agency to detect and prevent transactional fraud, enabling them to:
- Detect suspicious customer activity such as customer submission of falsified documents for driver license and ids.
- Detect suspicious internal transactions based on high volume transaction patterns that result in fraudulent credentials being issued.
- Detect suspicious cashier activities in branch office and third-party service providers.
- Detect suspicious third partner activities that may be triggered by abnormal and high-volume transactions activities.
- Identify suspicious and fraudulent documents used to falsify vehicle ownership.
- Identify transactions which were incorrectly cancelled.
- Minimize the misuse of official and confidential documents such as vehicle titles and registration plates through proactive and rigorous inventory detection.
Here’s how motor vehicle agencies can adopt the right AI technologies to do all of the above, minimizing fraud and improving service delivery.
