Asurion Reduces Fraud and Risk with Advanced Analytics
Constant improvement, better customer experience
"Asurion's broad business goals are to increase its market presence and maintain profitability," says Sada Rajagopalan, senior director of architecture at Asurion. "Our products today span multiple channels. A customer might start a claim in one channel and finish it in another. And we are exposing ourselves to a lot of millennial customers through this omni-channel experience. It gives us opportunities—but also risk management challenges."
"We wanted to provide adequate fraud protection for our business when we enter these new channels. We wanted to collect as much information as we could across all channels and use it to assimilate and evaluate the amount of fraud or risk protection we need.
"Our main problems were siloed applications. We have information and data scattered across the company, and our workforce had to look at multiple systems to adjudicate cases. We wanted to centralize into a single system with an efficient user experience and analytics so they could do the job better and more efficiently. If we weren't able to solve these problems, we would lose customers, wouldn’t be profitable, and wouldn't be true to our clients and partners," continues Rajagopalan.
"We wanted a true event-oriented enterprise to increase productivity—and to use analytics and data to power our reasoning and ability to mitigate fraud and risk. We wanted to use machine learning, advanced analytics, and external integration with fraud networks to reduce fraud," continues Rajagopalan.
"TIBCO and Asurion have had a relationship for eight or nine years now. Our initial relationship started with TIBCO's integration platform and messaging middleware. We selected TIBCO solutions to consolidate all events across the channels on which customers interact. We connected TIBCO's analytic platform to our event stream, and use it for a lot of analytics.
"TIBCO Professional Services Group has been involved with Asurion for a while, and we continue to involve them in a lot of projects. They help us bootstrap our understanding of a new product and also complete initial implementations with a clear objective of transferring knowledge before the project ends. We have a very good relationship with them.
"We really needed two analytics tools. Rule-based evaluations are usually more reactive. Event-based correlations are more proactive, helping us become smarter about understanding user patterns and putting us in a better position to effectively reduce fraud rather than just react to it. We can now consistently collect information across all customer channels to populate our streaming analytics. Using these events, we constantly evaluate rules that process risk associated with claims.
"We are using TIBCO solutions very effectively to analyze and implement new rule sets. We provide this ability to our business partners, and they can use the system to implement new rules, which they couldn’t do before. That’s a great outcome for us. We’re also reducing the cycle time for implementing these partner rule sets within our platform. Using TIBCO's analytics platform, we're expecting to reduce the fraud dispute ratio by 10 to 20 percent the first year, and about 30 to 50 percent over the next three years. Additionally, advanced analytics helps prevent fraud and risk in our systems and provides a better customer experience. It provides a differentiated value-added service we provide to our clients.
Rajagopalan concludes, "Asurion is on a journey to expose risk and provide production as a service to its partners. We've used this as an internal product, and now we're trying to make it external and sell it to partners. We're looking at other new technologies, and other analytic products from TIBCO to augment this platform."