Case Study: Virginia Employment Commission reduces fraud by $500K+ with Pindrop Protect

Virginia Employment Commission cuts fraud by $500K with Pindrop

The Virginia Employment Commission (VEC), a state agency handling unemployment claims, faced a significant rise in fraudulent call center activity post-pandemic, leading to an estimated $350M in losses over three years. Their existing knowledge-based authentication methods were ineffective, often failing genuine customers while allowing fraudsters to pass. To modernize their security, VEC sought a solution from vendor Pindrop and implemented their Pindrop® Protect service to detect fraud in real time.

Pindrop's solution provided multifactor fraud detection that integrated seamlessly into VEC's existing call center infrastructure. The Pindrop® Protect service analyzed calls in both the IVR and with live agents, flagging high-risk activity instantly. This implementation helped VEC detect over 800 potentially fraudulent calls, leading to an estimated $560,000 in immediate fraud loss avoidance and putting them on an annualized track to save nearly $1 million.

Virginia Employment Commission (vec)