these issues so that we can consistently deliver the expected level of services in alignment with our ultimate value proposition.
Lyle: Proper use of claims data to better
assist under writing is one of the largest issues facing the insurance industry. Learning to use claims data to underwrite is
vital as claims is driven by underwriting.
Underwriting and claims need to work
hand in hand. The problem that is occurring is that carriers are not currently able
to successfully use data in such a way that
it assists in the underwriting process and
thereby limit claims. Sharing data generated from claims to underwriting so that
underwriting can better determine risk
and costing will only serve to limit risk
in the future.
Mitigating the risks
Preparing to address these challenges
takes planning and education. Training
and development will help to offset some
of the issues, but open and transparent
communication are critical to improving
the claims handling process.
Perrella: Pro-active training, effective
mentoring, and robust escalation procedures are the most effective tools to
hone the skills of early risk appreciation
and threat of exposure. The general Best
Practices and Fair Claims Practices training also are essential. In short, there is no
substitute for more experienced claims
personnel being assigned to help develop
the skills and capabilities of less experienced members of the team.
Peck: Appropriate authority in the field
and setting key performance initiatives
that can be measured internally to expedite the payment process is key. This
is especially important for insureds with
cross-border exposures where different
currencies and regulations exist which
could cause lengthy delays. The days of
fast-tracking or express claims concepts
being limited to small, attritional value
claims should be over.
Skapof: By placing a high priority on
Addressing the talent gap
training and developing our workforce,
we will be able to address many of the
issues in our industry, especially with re-
spect to technology and security. Through
better or more timely education, we will
be able to identify the best solutions as
well as continually innovate to meet the
ever-evolving needs of our clients.
Fisher: Transparent communication up
front by both the insured and industry
professionals is the key to successfully
evaluating a claim. A more trusting insurer
relationship with the policyholder will en-
gender a common desire to find amicable
solutions without protracted litigation.
The industry has been aware for over a
decade that a significant number of adjusters and claims professionals would be
retiring in the near future, and that time
is rapidly approaching. Some companies
have created programs to capture
institutional knowledge before it walks
out the door, are cross training their
teams and identifying new technology to
help mitigate the loss and a worker shortage. Our experts shared their insights on
Murphy: As with many industries, institutional knowledge is at risk when more
senior members of the team retire, and I
think smart businesses must have a plan
in place for transitioning and training.
One critical element is engaging the experienced claims professionals with the
more junior staff members. We have initiated a mentoring program and supported
training initiatives including ‘lunch &
learns’ and round table forums where our
senior claims professionals share their experience and observations on the market.
The forum also allows junior staff members to share their observations, which
creates a really interesting juxtaposition
of traditional practices with the innovative ideas.
Hilyard: I think there’s a lot here to discuss like having well-defined and coordinated strategies that address knowledge
management systems, AI, machine learning, contemporary knowledge transfer
capability, diversity and inclusion, gen-erational awareness, talent management,
succession planning, etc.
Woods: By instituting a solid mentoring
program within the company. Pair a tenured claims professional with a less experienced adjuster and allow that tenured
professional to share that institutional
knowledge and the knowledge that’s been
learned outside of the “books.”