Event Data Recorder

What is an Event Data Recorder (EDR) and how can it be used to detect fraud? 

An EDR is commonly known as the “Black Box” of modern automobiles, but it didn’t start out that way.  Its primary responsibility is to monitor multiple automotive systems and determine if and when the airbags should be deployed.  While auto manufacturers use different criteria for this, generally speaking, the EDR continuously monitors the speed of the vehicle, the position of the accelerator pedal, the braking force, whether the seat belts are being used, how much weight is occupying the front seats, the angle of the front wheels, along with several other fundamental fault systems.  Anytime the EDR is triggered, even when the force is not great enough to deploy the airbags, it records the information that led to the triggering.  This information can later be downloaded and analyzed by trained personnel to show what the driver and the vehicle were doing prior to the collision, at the time of impact and post collision.

Here’s an example of how an EDR download was critically useful in a recent investigation.  Viper Group received a claim from an insurance carrier regarding a rental truck that struck a parked BMW. The collision totaled the BMW, valued at over $100,000.  The insured driver of the rented vehicle reported to the adjuster that he was driving at a constant speed, became distracted and drifted off the roadway, striking the parked BMW on the right shoulder. However, the investigator reviewed the EDR information and noted significant discrepancies in his statements.  The EDR report showed that the driver had rapidly accelerated from a stop. He then released the accelerator pedal and began coasting. Just prior to the impact, the driver turned the steering wheel to the right and lightly covered the brakes, with minimal deceleration. The actions of the driver were consistent with that of a planned, staged and intentional act and not an accident. The Viper Group investigator confronted the driver with the EDR information, who ultimately confessed that the owner of the BMW had staged the loss because he could no longer afford the payments on his luxury car.