Veridox, the AI-powered forensic document and image manipulation analyser for insurers, announces that it has successfully raised £1 million. Outward VC led the round, with participation from Solo Investments Holdings Limited, the investment company of LBG Media founder Solly Solomou.
Fraudulent insurance claims in Europe are estimated to total €13bn per year, nearly 10% of all payouts. But in reality, most insurers can’t even tell you how much they are losing, only how much they’ve caught in the past year.
Veridox is launching a new AI-powered forensic document and image manipulation analysis platform for insurers. Veridox’s cutting-edge AI models enable industry-first techniques for analysing every aspect of a claim’s documentation. It instantly detects instances of potential manipulation that either would not be possible to or would take extensive manual investigation to uncover. For example, in the company’s first meeting with a $3bn insurer, its MVP (minimum viable product) identified £50,000 of fraud in a single case within seconds.
Unlike other document fraud detection platforms, Veridox offers more than just "red flags". It provides contextual analysis with reasoning to not only inform investigators that there is a risk of fraud, but also what it has detected and why it requires further investigation. This drastically increases the speed of their investigation to help them weed out legitimate forms of manipulation, such as the addition of a signature to a document, from those with malicious intent.
This explainability also supports the development of CPR 35 reports, required to meet compliance and reliability standards for legal disputes. This has already been validated when a law firm used Veridox to compel the judge to find in their favour, ultimately leading to a successful hearing into fraudulent activity.
Veridox was founded by former solicitor and serial entrepreneur Dan Sandler, who previously co-founded and successfully exited Tabb, an order and pay app for bars and restaurants. He was also recently awarded Tech Nation’s Rising Star for the North region. His former Tabb co-founder, Joey Clover, joined Veridox as CTO, and together they manage a team of 13 employees.
Veridox is currently working with 15 leading insurers as development partners, including some of the UK’s largest insurers. The funding will enable the company to expand its team with a focus on product and sales ahead of its launch to the general market.
