Oral Presentation: Applying the Asymmetric Information Management (AIM) technique to insurance claims

Title: Applying the Asymmetric Information Management (AIM) technique to insurance claims

 Abstract:

This study investigated the Asymmetric Information Management (AIM) technique’s ability to detect fraudulent insurance claims submitted online. The AIM instructions inform claimants that, inter alia, more detailed statements are easier to accurately classify as either genuine or fabricated. To test this, truth tellers (n = 55) provided an honest statement about a lost or stolen item within the previous 3 years, while liars (n = 53) provided a false claim. All claimants were randomly assigned to either receive the control or AIM instructions. We found that truth tellers provided more information in the AIM condition (compared to the control condition), and discriminant analysis classificatory performance was improved slightly. Unfortunately, the AIM instructions had little effect on the amount of information liars provided. Thus, the AIM technique is useful for supporting truth tellers to be more detailed, but more work needs to be conducted to assess why liars in this study did not implement a withholding strategy.