How the best claims partnerships leverage technology to benefit customers
It’s no surprise that impactful partnerships are paving the way for success in the insurance industry. In fact, it has always been this way since the early days of risk pooling when investors gathered at a small London coffee house to underwrite the safe passage of ships and their cargoes. But now the impacts of insurance industry partnerships can be leveraged for even greater results by using modern technology.
Snapsheet President Andrew Cohen, discussed this topic while sharing the stage with three panelists at ITC Vegas 2023, including moderator Simone Dossetor, CEO at Insurtech Australia; Cat Reese, Chief Claims Officer at SageSure; and Aidan Madigan-Curtis, Partner at Eclipse Ventures. Their session, Creating a Collaborative Claims Ecosystem — Leveraging Partnerships and Technology, focused on the future of claims as viewed through a collaborative lens.
Andy kicked off the session by talking about partnerships, saying, “The best claims partnerships are those where our customers benefit from the relationship and the Snapsheet ecosystem." This creates better efficiency through indemnity control with a lower total cost of ownership on the overall platform spend.
“We’ve built an ecosystem that is open to anyone, including people we compete with because that benefits our customers and our industry. This means we have the ability to build best-in-class features that cannot be duplicated due to the strength of our platform. Closed platforms are a legacy business model that hurts insureds, insurers, and the industry overall. An open platform allows information to flow more freely, letting us move more quickly while lowering costs for everyone in the ecosystem.”
Cat Reese, a current Snapsheet partner, agreed, noting the open interface with Snapsheet has been helpful to their ability to bring in partners and build the type of system they need for their customers. She expressed a preference for collaborating with partners who "adapt to what we're doing internally, allowing us to leverage economies of scale and differentiate ourselves," highlighting the significance of flexibility in their working dynamics.
How Technology Connects Digital and Physical in Claims
One way insurers and others in the claims ecosystem are leveraging technology to change claims outcomes is by bridging the gap between the physical and digital spheres. Aidan discussed stopping problems before they happen, for example by using technology to detect problematic levels of gas or water in industrial environments before they turn into hazards.
Some of the challenges of embracing new technologies include the fear of change. Andy pointed out, many companies haven’t changed their claims operating models in at least a decade. A culture of change is necessary for any company to fully realize the benefits of new technology.
He stated, “Claims fundamentally require interfacing across many parties. The things that are really impactful center around how to evaluate the loss and damage accurately, as fast as possible, and with the lowest expenses possible to return the claimant to pre-accident condition,”. This means leveraging technology like a robust claims management solution and virtual auto appraisals to move and adapt quickly.
Cat Reese pointed out the need to operationalize partnerships, developing relationships with companies that work well with their team and with whom they can discuss solutions to challenges when they come up. She explained that it can’t just be “monthly scorecards and release notes” but a real partnership with clear goals and communication.
Andy agreed, saying “Transparency is number one.” He expanded on how partnerships have evolved: “The shift we’ve seen over the last decade is geared toward transformation, but companies need to move based on how the market moves.
“The mindset has changed to one of a long-term partnership with both sides playing the long game. It’s a small industry so we need to do the right thing for each other and for customers. The more we support each other, the better off our industry will be.”
Leveraging Data to Bridge the Gap for Faster Decisions Within the Claims Process
A common theme revolved around data, highlighting its potential to spark creativity, innovation, and drive real results. However the challenge is that traditional carriers often find themselves in a bind when it comes to execution, and uncovering valuable and timely insights from data remains a hurdle that ultimately creates a gap when piecing together the full picture.
Cat Reese pointed out that while we are a “data-rich industry, both in underwriting and claims, we’re still insight-poor in a lot of ways.” Andy added that, “We’re an industry built on data and the claims data environment is lacking historically. But now there is new data we can see, curate, and analyze in different ways.”
This new data will need to be consumed in ways that are useful to claims professionals, providing them with insights that are both timely and relevant. Exploring new applications of generative AI is one example of how claims adjusters can tap into additional insights regarding their data that’s hidden inside larger claims files. GenAI can be used to generate a claims summary, finding and analyzing important data points within hundreds of pages of records, and condensing them into a digestible summary for the adjuster.
Harnessing these insights can enable faster decision making and help adjustwes see relevant insights immediately. This paves the way for earlier interventions in the claims process, more timely reserve adjustments, and enhanced communication for faster issue resolution.
One panelist spoke about improving combined ratios through technology that improves efficiency. Whether the combined ratio is driven by expenses or losses, using technology can help insurers execute ideas based on critical insights. Andy specified,
“The opportunity in claims is to improve on execution — it’s not a technical barrier,” and added that “Over time, technical barriers go away, and it is about execution. The organizations with the strongest execution win. At Snapsheet, we’re solving hard problems, not waiting for someone else to solve them. And we’re just getting started!”
The Power of Collaboration
In the ever-evolving landscape of the insurance industry, impactful partnerships and cutting-edge technology have always been the catalysts for success. As revealed by our insightful panelists at ITC Vegas 2023, the key lies in fostering collaborative claims ecosystems that seamlessly blend the digital and physical worlds.
Each industry leader on the panel emphasized the power and importance of adaptable collaborations, emphasizing the need for genuine partnerships with clear goals and communication. The discussion painted a seamless picture of technology reshaping claims outcomes, and how collaborative partnerships and cutting-edge technology, like GenAI, are redefining the landscape of claims processing.
As our team at Snapsheet continues to lead the charge in solving industry challenges and innovating claims processes, we invite you to join us on this journey! Our commitment to driving efficiency, embracing technological advancements, and fostering meaningful partnerships can help redefine success for your claims organization.
Contact us and let our team provide the guidance you need to take your claims management to new heights!
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