Government Fraud Statistics
40% of students believe the responsibility for stopping AI-powered fraud lies with government agencies.
Slightly over a quarter of those surveyed are using Generative AI (GenAI) for addressing FWA.
The use of network analysis for fraud detection is expected to expand from 32% to 87%.
Of the 1,100 government fraud fighters surveyed, nearly all claimed their agencies were victims of AI-powered fraud schemes.
Only 1 in 10 agencies have all the tools and resources they need to fight FWA.
70% of the surveyed government fraud fighters have seen an uptick in AI-powered fraud attacks in the last five years.
85% of respondents listed fighting fraud as a top five priority.
Nearly a third face significant resource limitations in fighting FWA.
The greatest benefit cited ( 57% ) among those already using AI is greater workforce efficiency.
A staggering 96% of respondents said FWA has negatively impacted citizen trust in their agency and its programs.
Privacy and security (48%) and ensuring their organization uses AI responsibly (43%) were among the top three challenges keeping government fraud fighters up at night
Respondents cited gaps in analytical skills (48%), technology (40%), and budgets (24%) among the limiting factors in fighting FWA.
97% expect to use GenAI within the next two years.
Survey respondents estimated that approximately 16% of budgets could be saved by tackling fraud, waste, and abuse (FWA) in general.
Current AI adoption rates for addressing FWA are relatively low, with about half of those surveyed using AI.
Among those already using AI to confront FWA, nearly 40% cite better prioritization of fraud alerts and quicker identification of FWA as benefits.
Nearly a third face significant resource limitations in fighting FWA.
Fraudsters were about four times more likely to use stolen identities instead of synthetic identities.
At least 1 in 4 fraud attempts targeted more than one government agency at once.
International bad actors were responsible for up to 12% of all incoming applications for government services and/or loans in the study.
Fraud costs the federal government upwards of $500 billion annually.