From Yahoo Finance: 2025-05-27 06:36:00

The Canadian Life and Health Insurance Association (CLHIA) is expanding its AI-driven fraud detection program to pool claims data. This initiative aims to enhance fraud detection capabilities, strengthen financial stability, and ensure the sustainability of group benefits plans.

Using AI, the program builds on the 2021 launch and will now include more providers and data. CLHIA’s collaboration with Shift Technology helps insurers detect suspicious claims by analyzing industry-wide de-identified data, identifying patterns, and connecting data across a vast pool of claims over time.

Insurers paid $36.6bn (C$50.38bn) in supplementary health claims in 2023, with fraud activities costing millions annually. CLHIA, representing 99% of Canada’s life and health insurance business, provides financial security products to nearly 30 million Canadians, holding over $1tn in assets and employing almost 180,000 Canadians.

Shift Technology partners with insurance companies to reduce fraud and risk, streamline claims processes, and enhance customer experiences through AI. Last year, the Canadian Automobile Association (CAA) signed a strategic partnership with insurance company Securian Canada to offer insurance offerings to its seven million members.

Read more: Canadian insurers expand AI-driven fraud detection programme