Solutions by goal
Stop paying for claims that never happened
Claim leakage is money paid out on loyalty and scheme claims that don't match a real purchase — duplicate invoices, edited amounts, fake scans or accounts that shouldn't exist. IMAST 360 stops it with layered checks: verified identity, invoice OCR, order data and AI anomaly detection before payout.
- Digital KYC before redemption
- OCR checks on every invoice
- AI fraud and anomaly alerts
The challenge
Where claim leakage comes from
Most leakage is ordinary, repeated and preventable.
01
Duplicate claims
The same invoice or QR code claimed twice, or by two partners.
02
Edited invoices
Amounts changed on a photo or PDF before upload.
03
Unverified accounts
Accounts that don't belong to a real, eligible partner.
04
Unchecked approvals
Claims approved in bulk with no record of who checked what.
Why it matters
Leakage is a budget problem and a trust problem
Every rupee paid on a false claim is a rupee not available for the partners who earned it. Over a year, small leaks across thousands of claims add up, and finance teams start to question the whole program.
Leakage also hurts honest partners. When controls are weak, brands react with slower approvals and stricter rules for everyone, and genuine partners wait longer for rewards they have earned.
The answer is automatic checks on every claim, so most claims pass quickly and your team only looks at the few that need a decision.
How it works
Four layers of protection
Each claim passes these checks before any reward is paid.
- 1Identity
Digital KYC
PAN and Aadhaar eKYC tie each account to a verified person before redemption.
- 2Document
Invoice OCR
AI-powered OCR reads invoices, validates amounts and catches tampering.
- 3Orders
Order data
Purchase data from Distribution+ flows into LoyaltyBoard, so your team can compare claims with real orders.
- 4Behaviour
AI anomaly checks
AI flags duplicate claims, redemption velocity, shared devices and location anomalies.
In practice
Tightening controls without slowing genuine partners
Put the strongest check at the start: KYC at enrolment removes most risk before anyone earns a point. After that, automatic checks handle the volume and multi-level approvals are reserved for larger or unusual claims.
Review flagged cases every week and adjust. If a pattern keeps turning out to be genuine for a segment — a large retailer that legitimately scans many codes, for example — tune the rules for that segment so the same partners aren't flagged again.
Keep a record of every decision. An audit trail of who approved or rejected each claim, and why, makes finance and audit conversations much simpler.
- KYC before anyone can redeem
- Automatic checks on every claim
- Extra approval levels only for larger claims
- Weekly review of flagged cases
- A record of every approval and rejection
Knoxy · AI Chief of Staff
Knoxy watches for anomalies across the channel
Knoxy, the AI Chief of Staff in IMAST 360, detects fraud and anomalies across loyalty, rewards and orders.
Meet Knoxy- Flags duplicate and unusual claims
- Alerts the right manager to suspicious patterns
- Covers payouts in Reward Max too
Getting started
A 90-day plan to reduce claim leakage
In the first month, measure the problem. Pull a quarter of claims and look for duplicates, edited invoices, claims without a verifiable partner and payouts to accounts that don't match the partner's name. This gives you a baseline and shows where the leaks are largest.
In the second month, close the biggest gaps. Require Digital KYC with PAN and Aadhaar eKYC before redemption, switch invoice claims to OCR verification, and set approval levels so larger or unusual claims get a second look. Where partners buy through Distribution+, use that purchase data so your team can compare claims with real orders.
In the third month, turn on monitoring. AI fraud detection flags duplicate claims, unusual redemption speed, shared devices and location anomalies, and Knoxy alerts the right person when a pattern appears. Review flagged cases weekly and adjust rules for segments that are repeatedly flagged without reason.
By the end of the quarter you should be able to compare leakage against the baseline and decide which controls to extend to every scheme.
- Month 1: baseline a quarter of claims
- Month 2: KYC, OCR and approval levels
- Month 3: AI monitoring and weekly reviews
- Compare with the baseline and extend controls
FAQs
Claim leakage FAQs
Which plan includes AI fraud detection?
AI fraud detection, AI OCR verification and AI anomaly alerts are included from the LoyaltyBoard Growth plan.
Will stricter checks slow down honest partners?
Automated checks run in the background, so most claims move without delay. Only flagged activity needs a person to review it.
What is claim leakage in a loyalty program?
Claim leakage is money paid on loyalty or scheme claims that don't match a real purchase or behaviour — for example duplicate invoices, edited amounts, fake scans or ineligible accounts.
How do you prevent duplicate claims?
LoyaltyBoard's AI flags duplicate claims and scans, and OCR verification catches tampered invoices before points are credited.
Does KYC reduce leakage?
Yes. Digital KYC with PAN and Aadhaar eKYC ties each account to a verified person before they can redeem. Digital KYC is available from the Growth plan.
Can claims be checked against order data?
Purchase data from Distribution+ flows into LoyaltyBoard automatically, so your team can compare claims with real orders. Other systems connect through REST APIs on Enterprise.
Which plan includes AI fraud detection?
Growth includes AI fraud detection, AI OCR verification and AI anomaly alerts. Enterprise adds the full AI suite.
Will stricter checks slow down honest partners?
Automatic checks run on every claim, so most pass without manual review. Your team only reviews what the AI flags.
Are reward payouts protected too?
Yes. Reward Max includes AI anomaly detection for suspicious redemptions, duplicate claims and velocity abuse, plus KYC and bank account validation.