Annual Report

2023

In 2023, Operations, Intelligence, and Analytics (OIA) strategically focused its efforts on enhancing its capabilities, to include: 

• Improving the quality, relevancy, availability, timeliness, and catalogue of intelligence products, which increase access to unique datasets.
• Standardizing internal business processes.
• Enhancing data management and automation processes and establishing machine learning in analytical reporting and forecasting. 
• Strengthening data quality through entity resolution. 
• Developing analytical tools relevant to combatting fraud. 
• Driving operational outcomes in investigations. 

The streamlining of resources, collaborative initiatives, and introduction of new products represent noteworthy advancements in providing valuable services to the insurance industry.

In 2023, OIA strengthened relationships and expanded collaboration efforts. NICB was granted access to the National Data Exchange (N-DEx)—the FBI’s unclassified criminal justice information sharing system—which allows NICB to search and receive alerts on subjects of interest from law enforcement agencies across the nation. 

The Data Science team developed an entity resolution solution that allows NICB to better determine which records are referencing the same individual. The machine learning model regarding medical providers who may be engaging in fraudulent activity was refined, which led to the initiation of over 60 new investigations.

The team also developed a forecasting model to be able to accurately predict the rates of vehicle thefts expected in areas. This model has been incorporated into multiple intelligence reports for our members and has allowed for better coordination in targeting expected peak geographic locations. 

NICB's Intelligence Management System (IMS) modernization effort, initiated in the summer of 2022, reached a significant milestone in July 2023 when the new system was deployed. Over two decades of NICB intelligence data was migrated to a secure cloud-based solution, and IMS will be pivotal in integrating intelligence equities while enhancing access for field resources. The successful deployment of the IMS signifies NICB's commitment to utilizing technology for intelligence-driven operations.

NICB’s Catastrophe (CAT) Response program continued to improve and advance its support for catastrophic events. OIA upgraded both technology and techniques in 2023 to geocode CAT claims for use by our partners at the Geospatial Insurance Consortium (GIC) to capture imagery more quickly and precisely. OIA also began re-processing models once claims have matured, increasing the opportunity to identify CAT-related fraud. 

OIA improved its review and approval process for special and major investigations to improve customer service and hosted cargo theft and VIN etching events and a workers’ compensation conference to discuss the latest methods and challenges concerning commercial investigations. These efforts improved the capabilities of members to address fraudulent schemes and resulted in successes around the nation, including the resolution of 53 cargo theft investigations and instruction during 57 VIN etching events.

NICB remains committed to addressing all forms of fraud related to its vehicle program. OIA ended 2023 with 309,593 vehicle recoveries and 2,875 vehicle repatriations and provided vehicle crime training to member companies and law enforcement. OIA also launched an innovative effort to address the impact of organized crime rings and continues to explore other preventative measures designed to reduce insurance-related fraud and crime.

In addition, NICB is working to identify additional avenues for sharing our intelligence reports. This increased access to unique datasets, which are normally only available to law enforcement, and the ability to share intelligence allows NICB to provide better service and have a greater impact on fraud for our members.

In 2023, NICB was granted access to the National Data Exchange (N-DEx), which allows NICB to search and receive alerts on subjects of interest from law enforcement agencies across the nation.

In addition, L&D provided relevant training through multiple virtual and in-person academies, which focused on a variety of topics to include vehicle crimes, medical fraud, and workers’ compensation fraud. Through tailored programs, strategic partnerships, and innovative initiatives, L&D continues to foster an environment of perpetual learning and ensuring the collective capabilities of our members and partners remain at the forefront of industry excellence.

FraudSmart Instructor-Led Courses

An enduring foundation of L&D offerings involves robust bi-weekly virtual instructor-led FraudSmart training. With a focus on comprehensive coverage of diverse insurance crime topics, and the ability to provide timely instruction related to emerging insurance crime trends, FraudSmart creates a dynamic and impactful learning experience for participants. FraudSmart courses are taught by NICB subject matter experts who bring a depth of knowledge, practical insights, and a real-world perspective. The ability for interactive discussions and use of polls and quizzes facilitates real-time interaction between learners and instructors and ensures an engaging learning experience. The FraudSmart program delivered 160 courses on a wide variety of fraud topics, such as vehicle crime, medical billing fraud, arson for profit, telehealth fraud, and identity theft. In 2023, L&D launched five new FraudSmart courses, updated 11 existing courses with fresh content and format, and processed over 1,700 continuing education credits, which supported NICB member professional development.

Specialized Academies 

In a rapidly evolving insurance crime landscape, specialized academies afford participants an opportunity to receive targeted and up-to-date training that reflects the latest trends impacting the industry. L&D has achieved tremendous success through the production of academies, which facilitate the transfer of institutional knowledge by providing a structured platform for sharing expertise and experience. In 2023, L&D academies provided cutting-edge course content and enhanced participant knowledge, drawing a collective audience of over 600 investigative professionals. The Vehicle Crimes Academy delved into the complex world of vehicular fraud, while the Fraud Investigations Academy offered instruction related to detection and investigation techniques. The Workers’ Compensation Fraud Conference focused on innovative strategies against fraud. Together, these events underscored L&D’s commitment to setting a high standard in education and networking in the fight against insurance fraud.

On-Demand eLearning: NICTA

For over two decades, NICTA has served as the flagship eLearning platform that boasts engaging multimedia elements and relevant interactive content designed to empower learners and promote an environment of continuous learning. The global reach provided by NICTA ensures seamless access to over 60 courses, which are curated to provide content designed to address industry trends and high-impact, insurance-related crimes.  In addition, NICTA is hosted on a robust learning management system that allows for real-time progress tracking, and over 40 courses are approved for continuing education credits to support professional credentials and certifications.

In 2023, L&D continued our efforts to ensure NICTA courses align with the latest industry trends, technological advancements, and evolving best practices. New and existing NICTA courses focused on user experience, and improvements were made to navigation, accessibility, narration, and media integration. In addition, learner feedback and review of data-driven metrics identified areas of improvement and enhancements. With an impressive 153,949 enrollments, a high satisfaction rating, and meticulously crafted courses, NICTA sets a standard of excellence and delivers unparalleled value to learners.  

Regional Training Program

To capitalize on the extraordinary expertise and experience of the NICB workforce, L&D supports an extensive Regional Training program. This program is instrumental in providing unique and customized training opportunities for NICB members, law enforcement partners, and key stakeholders throughout NICB’s seven regions. Regional training offers a variety of flexible formats to include in-person workshops, engaging webinars, and immersive online courses. Each program covers a wide variety of insurance crime and fraud topics, and courses are co-created with partners to ensure expert knowledge with actionable insights. In addition, NICB instructors have successfully participated in an Instructor Development Certification program to facilitate best practices in education and training, and to ensure teaching methods accommodate the varied preferences and needs of learners.

In 2023, NICB realized a tremendous demand for regional training with over 1,500 hours of training provided to over 27,000 attendees. The unique instruction provided by the Regional Training program has been met with outstanding reviews and proven to be an effective tool in combating insurance crime.

Engaging With Partners

Paramount to the success and sustainability of L&D programs is an ongoing Partner Engagement program. These collaborative opportunities are driven by active participation, open communication, and a shared commitment to providing world-class insurance fraud and crime training. For 2023, this was accomplished through two complimentary committees comprised of members and industry representatives.  Specifically, the Learning Committee focused on evolving trends in learning and innovative methods to upskill the workforce while the Workers’ Compensation Focus Group addressed training dedicated to fraudulent activities that undermine the integrity of the workers’ compensation system. These collaborative opportunities serve as a driving force to ensure enduring relationships and promote a landscape of up-to-date trends and strategies.

All said, 2023 was a transformative year for L&D. The commitment to providing innovative, relevant, and engaging learning experiences not only elevated the skills and knowledge of our learners but has positioned L&D for sustained excellence in a rapidly evolving landscape. The past year has been dedicated to elevating our learning programs and delivering innovative solutions to NICB members, law enforcement partners, and key stakeholders. 

Looking ahead, we are excited to revolutionize our approaches, embracing cutting-edge technologies, and pioneering formats like microlearning and podcasts, and we remain steadfast to the principles of continuous improvement, adaptability, and an unwavering focus on the development of our courses and programs. L&D celebrates the achievements of the past year and eagerly anticipates the opportunities and challenges that the coming year will bring—confident in the ability to thrive and evolve through the power of learning and development.

In 2023, the team continued to be successful in our strategic objectives, while at the same time focusing on three major priorities: 1) refreshing NICB’s visual identity for the first time in decades; 2) creating a new member experience strategy to ensure members have a consistent experience with the NICB brand; and 3) expanding our public affairs initiatives to have an even stronger voice as the nation’s leader on insurance fraud.

In addition, NICB held over 250 meetings with legislators and regulators, provided testimony 191 times, and helped enact 57 favorable bills.

NICB’s impact was highlighted in Florida where SPGA led an initiative to revise laws that have plagued the auto glass market there for years. NICB provided in-person testimony at five different committee hearings on both the House and Senate sides in support of reform measures. Working alongside industry representatives and other partners, NICB also helped found the “Fix the Cracks” initiative, a public affairs campaign to support and complement lobbying efforts. In coordination with Fix the Cracks, NICB’s President and CEO David Glawe published an op-ed in Florida Politics bringing attention to the growing auto glass fraud and abuse across Florida and calling for meaningful reform to the law.

As legislators across the country continued to advance consumer data privacy legislation, NICB worked exhaustively with lawmakers to articulate our mission and the need for protecting the flow of insurance fraud information through NICB between our members and our law enforcement partners. NICB is the only organization capable of securely housing, analyzing, and commingling all insurance claim data, law enforcement data, and third-party data because of our unique non-profit status and reputation for responsible data solutions. Through our advocacy efforts, NICB was able to secure entity-level exemptions in seven additional states where consumer data privacy laws were passed last year, expanding the total number of laws enacted with NICB exemptions to 10.

With vehicle thefts, carjackings, and catalytic converter thefts, unfortunately, remaining at historic highs, NICB was particularly active on those issues in jurisdictions across the country. A few of those highlights included: 

• A suite of laws NICB helped enact in New Jersey that strengthened criminal penalties for auto thefts. 
• First-in-the-nation legislation in Colorado that NICB supported making nearly all auto thefts felonies. 
• In-person testimony NICB provided before the Georgia legislature to successfully enact a new auto theft prevention authority. 

Georgia also passed favorable new catalytic converter legislation that featured NICB’s in-person testimony. NICB helped draft catalytic converter legislation in Delaware that was also enacted. NICB was also heavily involved in crafting and supporting the passage of legislation creating the first-ever state fraud unit in Wisconsin. 

Finally, NICB created a Model Law that was presented at the National Conference of Insurance Legislators (NCOIL) at their summer and fall conferences. NICB continues to work with NCOIL to advance that model. NICB also presented at the Anti-Fraud Task Force meetings as part of the National Association of Insurance Commissioners’ (NAIC) Annual Conference.

NICB helped support our Public Affairs and Communications partners on NICB’s Contractor Fraud Awareness Week (CFAW) by securing proclamations formally recognizing CFAW in 15 different states—up from three the prior year. 

Our external efforts were matched by significant improvements in the internal policy and compliance landscape and formulation of enterprise-wide strategies. SPGA launched NICB’s Data Governance Committee, finalized a new Cybersecurity Incident Response Plan, and improved our law enforcement access policy and implemented updated agreements with thousands of law enforcement partner relationships across the country. 

The Office of the General Counsel (OGC) further complemented those efforts by continuing to successfully manage overall corporate risk through implementation of the Enterprise Risk Management Program, and by developing and implementing an audit program of member data vendors.