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How a Novel VIN-Scan Solution Empowers Insurers to Streamline Claims, Outpace Risk and Fraud
There’s a new insurer-specific VIN-scan solution on the block — giving Canadian carriers simplified, secure vehicle data for faster decisions, smarter claims, and stronger fraud detection.
Behind Canada’s soaring auto fraud and theft crisis lies a deeper threat: a wave of increasingly sophisticated schemes — from cloned Vehicle Identification Numbers (VINs) and falsified repairs to inflated claims and organized crime — that are overwhelming claims teams and costing insurers billions.
Claims fraud investigations rose 76% in 2024, with nearly two-thirds tied to auto. Economic uncertainty, organized crime, and geopolitical instability also fuelled a wave of inflated claims. In 2023 alone, auto theft cost Canadian insurers a record $1.5 billion in claims, reported the Insurance Bureau of Canada.
“For insurance companies, it’s a business-wide risk that undermines underwriting accuracy, slows special investigations, and erodes customer trust,” says Michael Thompson, Chief Commercial Officer at ISB Global Services, a leading insurtech provider in Canada.
Vehicle history data can be a powerful tool for insurers – helping detect fraud, validate claims, and price risk more accurately — but it’s often buried in lengthy reports never designed for insurance workflows, Michael Thompson adds.
That’s why ISB Global Services has partnered with CARFAX Canada on a first-of-its-kind VIN-scan solution – designed to streamline claims handling, underwriting, and fraud detection using fast, insurer-ready data.
Why Insurers Need Simplified VIN Data
Insurers need triage-ready, insurer-specific data insights that are tailored to their workflows, customized to precisely what they’re looking for, and flagged for hidden risks — saving time, reducing manual review, and supporting faster, more accurate decisions.
“The new VIN-scan solution delivers an at-a-glance assessment of critical vehicle history data insurers need to quickly validate claims, underwrite smarter and spot fraud fast,” explains Shane Thomas-Lovric, Director of Vendor and Contract Management at ISB. “This product is built for speed, scale, and accuracy — it’s a natural fit for today’s insurer workflows.”
By accessing the solution through ISB’s secure platform, insurers can identify red flags such as fake VINs, unreported damages, or prior recalls or revocations— key signals that help validate or challenge a claim. The simplified product offers actionable data, dramatically reducing review time while improving consistency across claims, underwriting, and fraud investigations.
It’s customizable, scalable, and cost-effective. Whether scanning one VIN or thousands, the tool supports bulk queries, real-time monitoring, and custom watchlist alerts in real-time to empower Special Investigations Units (SIUs).
Tailored configurations for claims (VIN-scan Summary), underwriting (VIN-scan Detail), and fraud (VIN-scan Monitoring) make it easy to integrate into existing processes and deliver defensible data faster.
Smarter Claims Triage and Faster Payout Validation
In today’s high-pressure claims environment, insurers can’t afford to base payout decisions on incomplete data. Yet, many vehicle valuations still rely heavily on claimants’ reports — opening the door to inflated claims and hidden damage.
Simplified VIN-scan fills that gap. Vehicle ownership and history red flags, such as odometer discrepancies, undisclosed damage, or fake VINs, are flagged immediately — helping adjusters triage total losses with confidence.
“If a claimant reports a total loss worth $30,000, but the VIN-scan reveals undisclosed prior damage, that value might drop to $25,000,” explains Shane Thomas-Lovric. “That’s a huge difference — and this tool exposes it.
With VIN-scan Summary reports available on demand, claims teams can validate details early in the claims process, reducing delays, avoiding overpayments, and improving accuracy — protecting claims integrity without compromising turnaround times”, adds Michael Thompson.
Underwriting at Scale — Without Compromise
Underwriters are also turning to simplified VIN-scan to increase speed and precision for risk assessment. With the VIN-scan Detail feature, they can tailor insights to their business needs and run bulk VIN queries — even across entire books of business.
“Whether it’s one VIN or 80,000, the system delivers consistent results, fast,” says Shane Thomas-Lovric.
This helps underwriters price more accurately, flag hidden exposures, and act on risk signals before binding coverage — supporting stronger decisions and better portfolio performance.
Modern Tools to Fight Modern Fraud
SIUs are leveraging the tool’s real-time monitoring to fight modern fraud. VIN-scan Monitoring enables teams to create custom watchlists of high-risk VINs in real-time, tracking repeat offenders and detecting patterns tied to evolving fraud schemes, like cloned vehicles or the rise in re-VINed stolen cars.
“Fraud is no longer about catching what’s already happened,” says Shane Thomas-Lovric. “It’s about building early warning systems that help insurers stay one step ahead.”
With 24/7 alerts tailored to investigation timelines or renewal windows, SIUs can move from reactive to proactive — spotting fraud before the losses escalate.
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At the core of the solution is the unmatched, comprehensive vehicle data credibility of CARFAX Canada — integrated with ISB’s advanced digital system for fast, secure delivery at scale.
Leading insurers using the platform already report faster, more accurate valuations, stronger fraud investigations, and measurable operational gains.
“It’s not just about having data,” says Michael Thompson. “It’s about how we deliver it — securely, intelligently, and cost-effectively to fit into insurer workflows – not the other way around.”
Reimagining Risk with Real-Time Data
Having access to VIN-scan solutions like these is part of a broader shift toward modernizing insurance risk management — one that leverages automation, intelligent data, and purpose-built tools to yield better insurance outcomes for everyone involved.
“By leveraging this technology, insurers can reduce manual burden, improve turnaround times, and make smarter decisions from first notice of loss to final investigation,” Michael Thompson says. “But more than that, we designed this for insurers because we understand the challenges they’re up against. The stakes are higher than ever. Sophisticated fraud is only escalating, and it’s time our industry had a tool that can help them outpace it.”
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