SIU Investigations in the Age of AI-Generated Fraud

Insurance fraud has always adapted to new technology, but artificial intelligence is accelerating that evolution at an unprecedented pace. Today, AI isn’t just changing how fraud happens; it’s fundamentally reshaping how SIU teams investigate it.

One of the clearest signs of this shift is the surge in identity-based fraud. In 2024, voice security firm Pindrop reported a staggering 475% increase in synthetic voice fraud attacks targeting insurance companies. At the same time, deepfakes and AI-generated media are blurring the line between what’s real and what’s fabricated, forcing investigators to rethink what “evidence” truly means.

The Rise of Synthetic Fraud and Deepfakes

AI-driven fraud goes far beyond exaggerated claims or staged losses. Synthetic identity fraud blends real and fabricated information to create a person who looks legitimate on paper, but doesn’t actually exist. Deepfakes add another layer of deception, using AI to generate highly realistic audio and video that can convincingly impersonate real people.

With these tools, fraudsters can submit claims backed by fabricated phone calls, videos, and recordings that seem authentic at first glance. As a result, digital evidence that once carried significant weight can no longer be taken at face value. SIU investigators now have to assume that what they see or hear may not be real.

Why Traditional SIU Investigation Methods Fall Short

Historically, SIU investigators have relied on documentation, recorded statements, and visual evidence as the backbone of an investigation. But with the rise of AI-generated media, that foundation is no longer as stable as it once was. Simply seeing a video or hearing a voice is no longer enough to confirm something is legitimate.

A recent survey of 2,000 adults found that nearly 74% can’t reliably tell the difference between real and AI-generated or deepfake content. That level of uncertainty makes it clear how easily manipulated media can slip through the cracks.

Voice fraud tells a similar story. In 2024, Pindrop reported that fraud attempts appeared in 1 out of every 599 contact center calls, which is a 26% increase from the year prior. That is roughly one fraudulent call every 46 seconds.

Even more concerning, 70% of adults worldwide admit they can’t distinguish between real and synthetic voices, meaning many of the people receiving these calls may believe they’re interacting with a legitimate claimant, witness, or policyholder when they’re not.

For SIU investigators, this reality changes the investigative starting point. Recorded statements, claimant calls, and call center interactions can no longer be treated as inherently reliable. Every piece of audio or visual evidence now requires validation before it can inform investigative decisions, adding complexity, time, and risk to an already demanding process.

How SIU Investigators Are Adapting

As synthetic fraud and deepfakes become more sophisticated, SIU teams are evolving their investigative approach to keep pace. Today, successful investigations require a combination of technology, attention to detail, and collaboration. Some ways SIU teams are adapting include:

• Authentication: SIU investigators can no longer take digital media at face value. Investigations increasingly include a dedicated authentication phase, where audio, video, and images are carefully examined to confirm whether they are genuine. This step adds time to investigations but is now critical for protecting claim integrity.
• Specialized detection tools: Investigators are turning to AI-powered detection software designed to identify manipulated content. These tools analyze metadata, validate sources, and detect subtle digital artifacts left behind by AI generation processes.
• Forensic Analysis: Forensic analysis often involves reviewing details AI still struggles to perfect, such as inconsistencies between video frames and irregular shadows, lighting, or background elements. These small clues can be critical in spotting synthetic media.
• Collaboration and training: SIU investigators increasingly coordinate with law enforcement and federal agencies which operate within complex cybercrime frameworks. Ongoing information sharing, specialized training, and cross-functional teamwork are essential as fraud tactics continue to evolve.

Legal and Policy Adaptation

As AI-enabled fraud grows, legislation is beginning to catch up. Several states have introduced or expanded laws addressing deceptive AI-generated audio and visual media. These laws aim to criminalize malicious use, provide victims with legal recourse, and establish clearer standards for pursuing offenders.

For SIU teams, this evolving legal landscape offers new investigative tools but also raises challenges around evidence admissibility and proving manipulation. The trend is clear: policy is increasingly recognizing that AI-driven deception is a real and growing threat.

Example:

The DEEPFAKES Accountability Act is a federal law that makes it illegal to create or distribute deepfakes without clear labeling and digital identifiers. The law carries serious consequences, including criminal penalties and civil fines, particularly when deepfakes are used to harass individuals, commit fraud, interfere with elections, or spread misinformation. It also empowers victims to take legal action, seek damages, and obtain court orders to stop harmful content. Additionally, tech companies and platforms are required to implement detection and transparency tools, helping prevent synthetic fraud before it spreads.

Don’t let synthetic fraud slip through the cracks. Talk to our SIU experts and protect your claims today.

Check out our sources:

Antonaros, Patrisha. “Deepfake Society: 74% of Americans Can’t Tell What’s Real or Fake Online Anymore.” StudyFinds.org, 13 Dec. 2023, https://studyfinds.org/deepfake-americans-real-or-fake/.

“Deepfake Fraud Surges 1,300% According to Pindrop’s 2025 Report.” Cyber Insurance News, https://cyberinsurancenews.org/deepfake-fraud-surges-1300-according-to-pindrops-2025-report/.

Lindner, Jannik. “Deepfake Statistics: Market Data Report 2025.” Gitnux.Org, 11 Dec. 2025, https://gitnux.org/deepfake-statistics/.

“Text – H.R.5586 – 118th Congress (2023‑2024): DEEPFAKES Accountability Act.” Congress.gov, Library of Congress, 20 Sept. 2023, https://www.congress.gov/bill/118th-congress/house-bill/5586/text.