Claim losses and claims handling expense form the largest share of P&C company expenditures. Moreover, claims handling represents the most intensive form of interaction with policyholders.
A poor
...Read MoreClaim losses and claims handling expense form the largest share of P&C company expenditures. Moreover, claims handling represents the most intensive form of interaction with policyholders.
A poor experience here leads to dissatisfaction and lost customers. Replacing those customers is costly, an
expense many times the cost of retaining them. Perhaps most important, claims handling, as one of the most
labor intensive activities of insurers, is accurately seen as especially ripe for cost savings through automation and other computerized enhancements.
Yet despite the intense focus that claims handling rightly receives, process improvements and promised
savings often fail to materialize, or, if they do, prove more modest than expected. Why?
This paper serves as a guide to that examination
and the options open to claims executives and chief information officers.