With Bot Attacks on the Rise, LexisNexis ThreatMetrix for Insurance Quotes helps U.S. Auto Insurers Combat Cybercriminals and Protect Positive, Fast-Quoting Experiences for Consumers

Rhea-AI Summary

LexisNexis Risk Solutions has launched ThreatMetrix for Insurance Quotes to help U.S. auto insurers combat increasing sophisticated bot attacks while maintaining a smooth consumer experience. Using a crowdsourced repository of 100 billion global digital transactions, this tool can differentiate between legitimate and malicious transactions in real-time. With the rise of AI and a 43% year-over-year increase in digital fraud attacks, the need for advanced detection systems is critical. The solution aims to safeguard consumer data and streamline the quoting process, accommodating the growing trend of online insurance purchases, particularly among younger consumers.

Positive

• Launch of ThreatMetrix for Insurance Quotes to combat bot attacks.
• Uses a crowdsourced repository of 100 billion transactions.
• Helps identify and mitigate bots in near real-time.
• Supports a seamless consumer experience without added friction.
• Addresses a 43% year-over-year increase in digital fraud attacks.
• Caters to the growing trend of online insurance purchases, especially among 18-29-year-olds.

Negative

• The rise in sophisticated bot attacks continues to be a significant threat.
• Ongoing updates needed to stay ahead in the evolving landscape of cyber threats.
• Potentially costly investment for insurers to integrate the new system.

Insights

Cybersecurity Analyst

LexisNexis Risk Solutions has introduced ThreatMetrix for Insurance Quotes, designed to combat the increasing prevalence of sophisticated bot attacks targeting U.S. auto insurers. As bot attacks grow more advanced, the ability to differentiate between legitimate human queries and malicious bot traffic becomes critical. This solution leverages a robust crowdsourced repository of 100 billion global digital transactions to deliver real-time identification and mitigation of bot activity.

From a cybersecurity perspective, this tool's value lies in its real-time assessment capabilities. Traditional cybersecurity measures often struggle to keep up with the rapid evolution of bot attacks. ThreatMetrix's ability to provide an easy-to-use bot risk score and customizable thresholds represents a significant advancement. It enables insurers to fine-tune their defenses according to their specific risk tolerances, which is particularly important given the continuously evolving nature of cyber threats.

Short-term implications: U.S. auto insurers can immediately enhance their defense mechanisms against bot attacks, reducing the risk of data breaches and associated financial losses. This can also lead to a more streamlined consumer experience, as legitimate queries will face less friction.

Long-term implications: By continuously updating based on market insights, ThreatMetrix can help insurers stay ahead of cybercriminals, maintaining the efficacy of their security measures. This ongoing adaptability is critical in an industry where the threat landscape changes rapidly.

Rating: 1

Financial Analyst

From a financial standpoint, the introduction of ThreatMetrix for Insurance Quotes by LexisNexis Risk Solutions could have significant implications for U.S. auto insurers. Cybersecurity breaches are not only costly in terms of direct financial losses but also in terms of reputational damage. By effectively mitigating these risks, insurers can protect their financial health more robustly.

Implementing ThreatMetrix can lead to substantial cost savings by minimizing the frequency and severity of data breaches. It also enables insurers to offer more competitive quotes and improve the overall consumer experience, potentially driving higher customer retention and acquisition rates.

Short-term financial impact: There might be initial costs related to the implementation of the new system. However, these costs are likely to be outweighed by the benefits of reduced fraud losses and improved operational efficiency.

Long-term financial impact: Enhanced cybersecurity measures can contribute to a stronger and more stable financial performance. Reduced incidences of fraud and data breaches can translate into lower costs and higher profit margins over time. Additionally, improved trust and customer satisfaction can lead to increased market share.

Rating: 1

As sophisticated "bad bot" attacks become more prevalent, U.S. auto insurers must evolve their approaches to differentiate between humans, good bots and bad bots, and manage good traffic at point of quote

Key takeaways

• LexisNexis® Risk Solutions announces the launch of ThreatMetrix® for Insurance Quotes to help U.S. auto insurers differentiate between the rise in malicious bot attacks and legitimate human queries at point of quote without adding friction to the consumer experience.
• ThreatMetrix for Insurance Quotes includes a crowdsourced repository of 100 billion global digital transactions that can identify and help mitigate bots in near real-time, leveraging the strength of the LexisNexis® Digital Identity® Network.
• In 2023, the percentage of consumers who purchased insurance online was 25%, up from 24% the year prior, with consumers between the ages of 18-29 purchasing insurance online at the highest clip of 54%ⁱ. As more consumers transition to digital interactions with insurers, the threat of bot attacks could continue to grow.
• The rise of AI – a double-edged sword: The technologies generative AI has spawned provide a variety of innovations for legitimate applications and criminal applications.

ATLANTA, June 11, 2024  /PRNewswire/ -- LexisNexis® Risk Solutions, a leading data, analytics and technology provider, today announced the launch of ThreatMetrix® for Insurance Quotes to help U.S. insurers and consumers better combat the rise in cybercrime that continues to plague a number of sectors, including the auto insurance industry. Digital fraud attack rates recorded in the LexisNexis® Digital Identity Network® platform continued climbing in 2023, increasing 43% year-over-year in North America, maintaining a trajectory first noted in the LexisNexis® Risk Solutions Cybercrime Report 2022ⁱⁱ.

Through the use of ThreatMetrix for Insurance Quotes, insurers can now:

• Quickly assess if a transaction is a bot or legitimate consumer seeking a quote for auto insurance.
• Evaluate the devices visiting insurers' websites without adding friction to the consumer experience.
• Identify data-harvesting bot attacks and protect consumers' personal data.

"ThreatMetrix for Insurance Quotes gives insurers the ability to better assess the risk of bot activity for each digital transaction in real time, returning an easy-to-use bot risk score and thresholds that each insurer can customize based on their own risk tolerance, then order LexisNexis® Auto Data Prefill with confidence that they are delivering an efficient quoting experience for the consumer," said Kim Brown, associate vice president of product management, insurance, LexisNexis Risk Solutions. "We know that bot attacks are becoming more sophisticated by the day. With consumers increasingly shopping for and purchasing insurance online, insurers who integrate ThreatMetrix for Insurance Quotes in the face of these ever-changing risks can enhance their detection management systems to help their organizations protect consumers and reduce friction during the auto quoting process, while better safeguarding themselves against costly data breaches. And with the evolving nature of these bot attacks, ongoing updates from ThreatMetrix based on what we are seeing in the market can help U.S. insurers stay one step ahead of the bad guys."

About LexisNexis Risk Solutions
LexisNexis® Risk Solutions harnesses the power of data, sophisticated analytics platforms and technology solutions to provide insights that help businesses across multiple industries and governmental entities reduce risk and improve decisions to benefit people around the globe. Headquartered in metro Atlanta, Georgia, we have offices throughout the world and are part of RELX (LSE: REL/NYSE: RELX, a global provider of information-based analytics and decision tools for professional and business customers. For more information, please visit www.risk.lexisnexis.com, and www.relx.com.

Media Contacts:
Chas Strong
LexisNexis Risk Solutions
Phone: +1.706.714.7083
Charles.Strong@lexisnexisrisk.com

Dean Carney
Brodeur Partners for LexisNexis Risk Solutions
Phone: +1.646.746.5607
Dcarney@brodeur.com 

ⁱ Statista Report: Share of US consumers who bought insurance online in 2023, by age. August 2023
ⁱⁱ LexisNexis Cybercrime Report

 

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SOURCE LexisNexis Risk Solutions

FAQ

What is ThreatMetrix for Insurance Quotes by LexisNexis?

ThreatMetrix for Insurance Quotes is a tool launched by LexisNexis Risk Solutions to help U.S. auto insurers combat sophisticated bot attacks while providing a smooth consumer experience.

When was ThreatMetrix for Insurance Quotes launched?

ThreatMetrix for Insurance Quotes was launched on June 11, 2024.

What percentage did digital fraud attacks increase by in 2023?

Digital fraud attacks increased by 43% year-over-year in 2023.

How many global digital transactions does ThreatMetrix for Insurance Quotes leverage?

ThreatMetrix for Insurance Quotes leverages a crowdsourced repository of 100 billion global digital transactions.

Why is ThreatMetrix for Insurance Quotes important for U.S. auto insurers?

It helps U.S. auto insurers differentiate between legitimate and malicious transactions in real-time, protecting consumer data and streamlining the quoting process.