Scribd
Upload
8 views

Capstone project Guidelines (1)

The capstone project titled 'Fraud Detection and Analysis for Insurance Claim Using Machine Learning' aims to develop an automated system to identify fraudulent insurance claims, enhancing accuracy and reducing financial losses. Key deliverables include project planning documents, data analysis reports, model development, and a functional prototype. The project is expected to take 12 weeks and has an estimated cost of ₹7000.

Uploaded by

yash
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
8 views

Capstone project Guidelines (1)

The capstone project titled 'Fraud Detection and Analysis for Insurance Claim Using Machine Learning' aims to develop an automated system to identify fraudulent insurance claims, enhancing accuracy and reducing financial losses. Key deliverables include project planning documents, data analysis reports, model development, and a functional prototype. The project is expected to take 12 weeks and has an estimated cost of ₹7000.

Uploaded by

yash
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 3

Department of Technical Education

Government of Karnataka

PES Polytechnic
Hanumanthanagara, Bangalore

Format- 1

Capstone project Scope Document

Capstone project Scope Document


The capstone project scope clearly describes what the capstone project will deliver and outlines all the
workrequired for completing the capstone project.

Capstone project Title: Fraud Detection and Analysis for Insurance Claim Using Machine Learning

Group Members: Yashwanth Gowda T G


V Tejas
S H Purvik Gowda
Ruthik

Problem Statement: Insurance companies struggle to identify fraudulent claims, leading to financial
losses and decreased trust. Traditional methods are inefficient and prone to errors. The goal is to develop
an automated system that can quickly and accurately detect suspicious claims, reduce false payouts, and
improve overall process integrity.

Objectives: The objective of a "Fraud Detection and Analysis for Insurance Claim Using Machine
Learning" project is to develop a system that leverages machine learning algorithms to identify and
analyze potentially fraudulent insurance claims by analyzing patterns and anomalies within large
datasets of claim information, allowing for early detection of suspicious activities and minimizing
financial losses for insurance companies
Capstone project description: The "Fraud Detection and Analysis for Insurance Claims Using Machine
Learning" project aims to build a machine learning system that automatically detects fraudulent
insurance claims. By analyzing historical claims data, the system will use algorithms to identify patterns
and anomalies that suggest fraud. The goal is to improve fraud detection accuracy, reduce manual
intervention, and minimize financial losses for insurance companies, while ensuring the system adapts
to evolving fraud tactics over time.

Capstone project Deliverables:

1. Project Planning Document: Defines objectives, scope, methodology, and expected outcomes
of the fraud detection project.
2. Data Collection & Preprocessing Report: Details sources of insurance claim data, data
cleaning, and preprocessing steps.
3. Exploratory Data Analysis (EDA) Report: Insights, statistical summaries, and visualizations
to understand fraud patterns.
4. Feature Engineering & Selection Report: Identifies key features influencing fraud detection
and their transformation process.
5. Model Development & Training Code: Implementation of machine learning models trained
for fraud detection.
6. Model Testing & Performance Report: Evaluation of models using accuracy, precision, recall,
F1-score, and other relevant metrics.
7. Fraud Detection System Prototype: A functional system or dashboard demonstrating fraud
prediction capabilities.
8. Final Project Report: Comprehensive documentation covering project methodology, analysis,
results, and conclusions.

Key milestones:

1. Project Planning & Data Collection


 Define project scope, goals, and timeline
 Identify data sources and collect relevant datasets
 Clean and preprocess data
2. Exploratory Data Analysis (EDA)
 Analyze data patterns and trends
 Identify missing values and outliers
 Visualize key insights
3. Feature Engineering & Selection
 Create new features to improve model accuracy
 Select the most important features for fraud detection
4. Model Selection & Training
 Choose suitable machine learning algorithms
 Train models using historical claim data
5. Model Testing & Evaluation
 Test models on unseen data
 Evaluate performance using metrics like accuracy, precision, and recall
6. Fraud Detection System Development
 Deploy the best-performing model into a system
 Integrate with insurance claim processing
7. Project Report & Presentation
 Document findings, results, and challenges
 Present insights and recommendations

Constraints:

1. Data Availability: Limited or incomplete historical insurance claims data may affect the model’s
accuracy and performance.
2. Data Privacy and Security: Sensitive personal and financial data must be handled securely,
complying with privacy regulations GDPR, HIPAA.
3. Model Interpretability: Some machine learning models deep learning may lack transparency,
making it difficult to explain fraud detection decisions.
4. Real-time Processing: The system might need to process large volumes of claims in real-time,
which can pose challenges in terms of speed and scalability.
5. Imbalanced Data: Fraudulent claims may be much less frequent than legitimate claims, leading
to class imbalance that can impact model performance.

Estimated Capstone project Duration: The project is expected to take approximately 12 weeks

Estimated capstone project cost: the estimated cost for fraud detection in insurance claims using
machine learning is between ₹7000.

Date: 02/01/2025 Signature of the trainer

Signature of Student Signature of Cohort Owner

You might also like