Global fintech and funding innovation ecosystem

Synthetic Media and Deepfakes: An insurance industry threat

Insurtech Insights | Sep 24, 2021

insurtech deepfakes - Synthetic Media and Deepfakes: An insurance industry threatFrom bogus claims to reputational damage, the ability of synthetic media to seemingly bend reality is an emerging menace with a far reach.

If you are familiar with photo and video editing tools, then you have probably heard of deepfakes, an emerging breed of artificial intelligence-enhanced videos that have demonstrated the ability to blur reality in ways that are extremely difficult for humans or even machines to detect.

Unlike conventional video editing, deepfakes utilize artificial intelligence(AI) to alter or synthetically generate videos, bringing a new level of realism without the forensic traces present in edited digital media.

See:  World Economic Forum (WEF) Warns of Cyberattack that will Collapse Existing Financial System

While these advanced fakes may sound like science fiction, many researchers have concluded it is only a matter of time before deepfakes become nearly undetectable to the human eye and subsequently undetectable even to elaborate forensic tools.

Earlier this year, the FBI sounded the alarm that deepfakes are a new cyberattack threat targeting businesses. As a result, many organizations are pondering strategies to mitigate the risks and potentially undesirable outcomes that may result.

Deepfakes or synthetic media can effectively be used to file fraudulent claims, create fraudulent inspection reports, and even establish the existence and condition of assets that do not exist.

Think claims for exaggerated damage from a nearby hurricane or tornado or claims for items that don’t even exist, i.e., a non-existent Rolex watch that got insured and mysteriously went missing.

Does this suggest going back to using human adjusters and inspectors for important claims? While taking a step backward to manual inspection might help to eliminate the deepfake threat, a layer of protection against the deepfakes in self-service processes would serve better without undoing years of digital transformation.

Read:  How open-source software shapes AI policy

Moreover, with many claims processes moving to straight-through processing, with no human intervention required aside from exceptional cases, two in-line approaches are suggested for implementing a layer of defense:

  1. In-line detection: Using AI and rules-based models to detect deepfakes in all digital media submitted. Similar to the Deepfake Detection Challenge mentioned earlier, apply AI-based forensic analysis to every photo or video prior to processing a claim.
  2. In-line prevention: Digital authentication of photos/videos at the time of capture to “tamper-proof” the media at the point of capture. This could simply be as part of a secure app that prevents the insured from uploading their own photos, or even better, utilizing a blockchain or immutable ledger that protects against both inside and outside changes to the media by utilizing a global consensus model.

Continue to the full article --> here

NCFA Jan 2018 resize - Synthetic Media and Deepfakes: An insurance industry threat The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit:

Latest news - Synthetic Media and Deepfakes: An insurance industry threatFF Logo 400 v3 - Synthetic Media and Deepfakes: An insurance industry threatcommunity social impact - Synthetic Media and Deepfakes: An insurance industry threat

Support NCFA by Following us on Twitter!

NCFA Sign up for our newsletter - Synthetic Media and Deepfakes: An insurance industry threat


Leave a Reply

Your email address will not be published. Required fields are marked *

10 + 2 =