Universal Identity and Fraud Insurance Collaborate to Confront First-Party Fraud Using Instnt | FF Virtual Arena #322
In the ever-evolving landscape of financial services, the issue of fraud remains a significant challenge. Sunil Madhu, co-founder and CEO of Instnt, recently shared insights on this matter in an interview conducted in the FF News Virtual Arena.
Banks are currently wrestling with First Party Fraud, a type of fraud where the perpetrator is a legitimate customer of the bank. The consequence of this is lengthy Know Your Customer (KYC) processes, which can sometimes reject innocent customers and consume valuable time and resources.
However, Madhu's interview offered hope. Instnt, a company renowned for its unique and innovative solutions, is developing a strategy to help banks in the US combat First Party Fraud.
The solution proposed by Instnt involves the use of universal ID technology and an insurance-backed fraud loss protection model. This innovative approach could insure against fraud loss, providing a novel financial risk management tool for organisations.
The beauty of Instnt's solution lies in its ability to integrate seamlessly with existing fraud prevention systems without requiring wholesale system changes. This means that banks can implement this solution quickly, providing immediate protection and resilience against fraud losses.
Key innovative aspects of Instnt's solution include AI-powered fraud risk mitigation, fraud loss insurance through surplus lines, and scalability and speed. By using advanced AI to detect and reduce fraud risk during customer onboarding and other processes, Instnt's solution promises to significantly reduce fraud for financial institutions and fintechs.
In conclusion, Instnt's ground-breaking solution offers a promising approach to combat First Party Fraud in the financial services sector. By combining AI-driven risk management with direct insurance coverage, this solution not only reduces fraud but also financially protects organisations against residual losses, addressing a key vulnerability in the fight against first-party fraud.
It's important to note that this interview is not an advertisement for Instnt's services. Instead, it provides more information about how Instnt's solution can help banks in the US combat First Party Fraud. As the fight against fraud continues, solutions like Instnt's could play a crucial role in ensuring the security and stability of the financial services industry.
[References] [1] FF News Virtual Arena Interview with Sunil Madhu, 2021. [2] Instnt Whitepaper, 2021. [3] Instnt Blog Post, 2021. [4] Instnt Press Release, 2021.
On FF News Virtual Arena, Sunil Madhu, CEO of Instnt, revealed that his company is working on a strategy to assist US banks in mitigating First Party Fraud. This strategy involves the adoption of universal ID technology and an insurance-backed fraud loss protection model, which could offer a financial risk management tool by insuring against fraud losses. Moreover, Instnt's solution is designed to integrate with existing fraud prevention systems, allowing for swift implementation and immediate protection against fraud losses.
