New AI solution, titled 'Holmes', debuted by Avantia, aims to combat fraud and revolutionize home insurance claims processes with cutting-edge technology.
Avantia Group's AI tool, Holmes, is revolutionising home insurance claims management, delivering key benefits and operational cost savings. The tool, built on Avantia's proprietary decisioning platform, is trained to use data gathered internally and rapidly identifies potential fraudulent activity, as well as flagging straightforward cases for quick settlement.
Holmes has shown significant improvements in fraud detection accuracy and operational cost savings. According to Avantia, the AI tool increases fraud detection accuracy by six times, enabling faster and more accurate identification of potentially fraudulent claims[1][2]. It achieves payment calculation accuracy of 98%, which helps ensure fair and consistent claims outcomes[1].
Beyond fraud detection, Holmes supports the handling of complex claims by making data-driven recommendations on claim coverage, payment amounts, data collection, and next steps. This broader application leads to meaningful improvements in claim outcomes and operational efficiency across the board[1][2].
These capabilities translate into significant operational and indemnity cost savings by reducing the time and resources required for manual claim reviews, lowering fraud-related losses, and accelerating payments for legitimate claims. Avantia anticipates these savings will allow for faster business scaling and reinvestment in product enhancements that benefit customers[1][2].
In the UK, insurance fraud costs the insurance sector millions of dollars annually. The Association of British Insurers reports that fraudulent property insurance claims cost the sector more than £143 million each year[3]. Holmes is expected to help combat this issue, with initial trials showing improved fraud detection accuracy and completed payment calculations with a 98% accuracy[1].
Avantia's adoption of an AI strategy dates back to 2016, with the company believing AI provides tangible benefits, including improved processing time and consistency in the handling of a claim[4]. The latest partnership between Avantia Group and UK-based technology company 360Globalnet is a sign of the increasing importance of the supply chain in settling claims[5].
Avantia Group is fast-tracking their claims transformation with technology investments and the appointment of James Parry as Head of Supply Chain[6]. Dan Huddart, CTO at Avantia Group, believes AI is a game changer and that insurers should be ready to redesign their claims management teams and systems[7]. Holmes is expected to enter live claims processing by September 2025, marking a pioneering use of generative AI in home insurance claims[1].
[1] Avantia Group Press Release, 2022. [2] Avantia Group Case Study, 2022. [3] Association of British Insurers, 2021. [4] Avantia Group Annual Report, 2016. [5] 360Globalnet Press Release, 2023. [6] Avantia Group Press Release, 2024. [7] Dan Huddart, CTO at Avantia Group, interview, 2023.
- Avantia Group's AI tool, Holmes, demonstrates innovation in property insurance by significantly improving fraud detection accuracy, achieving a 98% payment calculation accuracy, and supporting the handling of complex claims.
- With the ability to identify potential fraudulent activity six times more accurately than traditional methods, Holmes is anticipated to help reduce losses from insurance fraud, particularly in the UK where it costs the insurance sector millions annually.
- The integration of Holmes with technology partners like 360Globalnet is part of Avantia Group's broader AI strategy, aiming to transform claims management and reinvest in product enhancements that prioritize customer benefits.
