experience that consumers and businesses have with insurance. as major intermediaries between insurance providers and consumers of insurance products and services, how insurance agents think about their business and interact with their customers can make an important difference in helping millions of individuals, families and businesses across the country who remain ill - prepared for losses arising from unforeseen events. addressing this protection gap is ultimately the goal that we must all aspire to, to promote a resilient economy and the well - being of our society. bis central bankers ’ speeches

some ways, the joining of ai outputs with a human acting as a “ filter ” or “ reality check ” can capture efficiency gains and control for some ai risks. similarly, ai can act as a “ filter ” or “ reality check ” on analysis produced by humans, checking for potential errors or biases. ai tools may also be leveraged to fight fraud. one such use is in combatting check fraud, which has become more prevalent in the banking industry over the last several years. in a recent report, the financial crimes enforcement network noted that from february to august of 2023, there were over 15, 000 reports received related to check fraud, associated with more than $ 688 - 5million in transactions ( including both actual and attempted fraud ). 5 the growth in check fraud over the past several years has caused significant harm not only to banks and the perceived safety of the banking system but also to consumers who are the victims of fraudulent activity. the regulatory response to help address this growing problem has unfortunately been slow, lacking in coordination, and generally ineffective. could ai tools offer a more effective way for banks to fight against this growing fraud trend? we already have some evidence that ai tools are powerful in fighting fraud. the u. s. treasury department recently announced that fraud detection tools, including machine learning ai, had resulted in fraud prevention and recovery totaling over $ 4 billion in fiscal year 2024, including $ 1 billion in recovery related to identification of treasury check fraud. 6 while the nature of the fraud may be different in these cases, we should recognize that ai can be a strong anti - fraud tool and provide significant benefits for affected bank customers. if our regulatory environment is not receptive to the use of ai in these circumstances customers are the ones who suffer. ai will not completely “ solve ” the problem of fraud — particularly as fraudsters develop more sophisticated ways to exploit this technology. but it could be important if the regulatory framework provides reasonable parameters for its use. another often - discussed use case for ai in financial services is in expanding the availability of credit. ai is not the first technology with potential to expand access to credit for the “ un - ” or “ underbanked. ” we have long viewed alternative data as a potential opportunity for financial crimes enforcement network, financial trend analysis : mail theft - related check fraud : threat pattern & trend information, february to august 2023 ( vienna : financial crimes enforcement network, september 2024 ), https : / / www. fin