Convoy reduces freight fraud by 90% across its network

Two carriers were reported for theft in Southern California in the back half of 2022. At the beginning of August this year, another carrier came on the scene that could potentially be connected to those two carriers, but digital freight network Convoy gave the carrier a chance to prove itself, ultimately eliminating the carrier from the company’s network.

Convoy used its newly released real-time fraud detection system to give this carrier the boot.

“Generally, whenever we see risk for a carrier, we still give them the opportunity to prove their legitimacy. Sometimes, even good carriers may have something that looks wrong about them. We want to make sure that they can provide documentation – things like truck photos – to show that they are actually a good actor,” said Eric Libby, head of performance, compliance and trust at Convoy. “Carrier D was reported in the past week to have stolen at least eight shipments that we're aware of right now.”

But Convoy and its customers were not affected because of its new system, which confirmed the fraudulent nature of the carrier based on a digitally altered photo of a truck that a previous fraudulent carrier had used. And this information has been fed back into the Convoy system to make its model smarter over time.

The new system, which runs 24/7, constantly vetting carriers for changes, combines machine learning technology, forensic behavioral data, automation and industry collaboration to monitor risk in real-time, proactively block fraud before it can occur and more quickly apprehend perpetrators. It has resulted in a 90% reduction of cargo theft, double brokering and other forms of fraud in the Convoy network.

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