[ ] SIENA

Stimulation Initiative for European Neural Applications

Esprit Project 9811

Case Studies of Successful Applications

Automatic Handwriting Recognition

Company background

Helvetia Krankenkasse is the largest Swiss health care insurer with 1.4 million members. It is a division of the Swiss Care organization. The entire organization has a total of 2.4 million members (30 % of the Swiss population). It processes six million claims annually, 25,000 each business day. In Switzerland there are 1,300 regional offices and 11 administrative centres.

The problem

For years 18 data processing clerks processed the incoming claims on-line at a central location. Because one data processing clerk could handle only a maximum of 150 claims per hour, Helvetia had to contract out some 3 million claims per year to an external data-entry agency, at a cost of $ 0.75 per claim. The benefits of a faster and more efficient claim processing procedure are clear.

Neural network application

Document Access developed for Helvetia a system for automatic handwriting recognition. The software of system is based on neural network technology which enables a high level of recognition percentages and, in contrast to hardware based solutions, provided optimum flexibility. The system subsequently underwent intensive training in a large assortment of Swiss handwriting styles, so it isn't important who completed the forms; virtually all of the numbers and letters are recognized. Only about three out of 10,000 characters are recognized incorrectly. The system has been installed in January 1994. In practice the system works as follows. Helvetia employees place the claim forms in the scanner. The forms are scanned simultaneously on both sides and then automatically recognized. The 168 data fields on the form -- 75 % numerical, 10 % alpha-numerical and 15 % alpha-characters -- are processed automatically by the software. Whenever necessary, the typists enter only a few manual corrections; during this process a number of recognized characters are verified on the basis of information which appears on the screen.

Benefits

The processing capacity of a clerk increased from 150 to 400 claims per hour. Helvetia no longer has to turn to other data-entry agencies for claims processing. The total savings for Helvetia are $ 2,300,000 per year. The investment costs have been recouped in eight months.

Generalization

The key feature of this application is the use of a neural computing to recognize human handwriting. This is a task which conventional computing has found virtually impossible to tackle. Wherever large numbers of handwritten data - for instance from order forms, tax forms or cheques - are manually keyed into a computer, this technology has obvious advantages.

Contact persons

H. Altman, Helvetia Health Insurance, Ringstrasse 12, 8600 Dübendorf, Switzerland. Tel +41 1 824 5220, Fax +41 1 820 2830.

A. A. Veenhof, Document Access BV, Westersingel 101, 3015 LD Rotterdam, The Netherlands. Tel +31 10 436 66 64, Fax +31 10 436 68 44.

References for further reading

A.C.R. Hogervorst et al. Character Recognition Using Neural Networks. In: Neural Networks: Artificial Intelligence and Industrial Applications. Proceedings of the 3rd Annual SNN Symposium on Neural Networks, Nijmegen, The Netherlands, 14-15 September 1995, Nijmegen. B. Kappen and S. Gielen (eds). Springer-Verlag, London.