The Hidden Cost of Fraud in Social Service Programs

Fighting Fraud to Protect Communities and Resources
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Fraud in social service programs like the Supplemental Nutrition Assistance Program (SNAP) isn’t just about financial loss—it’s about real people missing out on the support they need.

According to the 2024 LexisNexis® Risk Solutions True Cost of Fraud™ study, for every $1 lost to fraud, the real cost is $3.93. With identity theft, EBT card skimming, and automated fraud on the rise, agencies struggle to maintain efficiency while securing benefits. Fraud leads to delayed aid, overwhelmed caseworkers, and missed processing deadlines, impacting real families.


The Human Toll of Fraud

Fraud doesn’t just cost money—it delays aid. Caseworkers face overwhelming backlogs, 40% of fraudulent applications go unprocessed, and agencies risk missing Application Processing Timeliness (APT) standards, leaving beneficiaries waiting for essential support. Fraud in social service programs like SNAP costs agencies $3.93 for every $1 lost.

 

How Agencies Can Take Action 

LexisNexis® Risk Solutions offers data-driven tools to fight fraud effectively:

  • Early Fraud Detection – Device authentication, behavioral analysis, and geolocation prevent fraud before benefits are issued.
  • Smart Modernization – Digital case files and automated processes improve efficiency and meet processing deadlines.
  • Integrated Insights – Cross-sharing data across programs helps uncover fraud patterns
  • Enhanced Worker Tools – Automated alerts and streamlined applications reduce backlog and increase efficiency.  

Read the article now to learn ways to protect your agency from fraud risks. 
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