3 key insights from Connected Claims 2020

July 14, 2020

Reuters’ Connected Claims conference is the biggest insurance claims event of the year. While the conference was virtual this year, this didn’t stop thousands of top insurance and insurtech executives from coming together to hear about the latest claims trends. Insurers like Farmers, USAA, and MetLife shared their thoughts on the digital claims transformation. Tech companies like Zipwhip and Tractable spoke about an improved claims customer experience using technology like AI and texting.

The industry leaders painted a similar vision for where claims is heading. Three themes stood out across 40+ sessions over three days.

1. CORONAVIRUS HAS PUT DIGITAL CLAIMS IN THE SPOTLIGHT

Every speaker focused on how the coronavirus pandemic has acted as a catalyst for claims organizations. With remote workforces and social distancing as the new normal, digital claims tools moved front and center. Insurers had to provide touchless claims handling solutions. They were forced to make big decisions fast.

The insurers who presented talked about their digital claims roadmaps. The majority of carriers already had strategic plans for their claims transformation before the pandemic. However, with COVID’s emergence, insurers with roadmaps were forced to rapidly deploy innovations that weren’t on track for execution anytime soon. And those who hadn’t thought as much about the future of digital claims are thinking about it now.

For example, MetLife talked about how they scaled their ability to do virtual appraisals. They also developed systems for processing forms and documents that needed customer signatures.

Nearly all of the insurers commented on their organization’s mindset shift. Their ability to meet the new normal’s demands proved their nimbleness and validated their roadmaps. They said it showed them that their customers like self-service tools – and that they know how to use them. In fact, USAA said their member satisfaction rates increased during the pandemic.

Many of the speakers believe that this new way of thinking and proof of successful change management will likely continue to drive innovation.

2. CONSUMER EXPECTATIONS ARE DRIVING DIGITAL CLAIMS

Customers were hot topic of discussion at the conference. In our digital age, customers are used to self-service tools and digital engagement. They expect the same seamless experiences that they get with companies like Amazon from their insurers.

Customers want simple, fast, and transparent digital claims processes. They expect personalized experiences that are convenient for them. They need insurers to be available when and how they want – texting, chatbots, phone, and email. 

Carriers want to make their customer experience better too. They’re focused on placing the customer at the core of their design thinking. Insurers are uncovering what customers want, and they’re building roadmaps and claims products based on customer feedback.

For example, Farmers talked about how they pinpointed areas of the claims process to digitize and focus on where the customers say that they don’t want to have to call an agent. They want their customers to be able to follow along the claims journey: filing a claim online or through text or chat, getting the status of their claim, seeing what Farmers’ is working on, and what Farmers’ needs from them. This improves the process for customers and adjusters because it eliminates the common question – “what’s going on with my claim?”

The speakers emphasized two points throughout their presentations. They said that carriers need to provide customers with a choice of how to push along their claim. This includes a variety of digital engagement options and the old-fashioned phone call. They also said that a straight-through claims process should be a balance of automation and human touch. Customers should have the option to speak with an adjuster during a stressful time.

3. CRASH DATA IS THE KEY TO A SUPERIOR CLAIMS EXPERIENCE

Whether it was through telematics, photo estimating, or video, every presentation focused on capturing crash data. Insurers need crash data to power the superior straight-through claims process that customers expect today.

Crash data unlocks insights that enable a fast, efficient, effective, and proactive process, and makes the claims experience better for customers and adjusters. It helps adjusters verify contextual crash details like location and speed, eliminates redundant tasks, and helps with coverage investigation. With crash data, adjusters can focus on the customer in their time of need and make the customer whole sooner.

For example, Tractable helps insurers expedite claim recovery. Tractable’s AI technology assesses damage in real-time. Tractable presented on how digital estimating can complete appraisals in less than 3 minutes. Customers discover if their car can be repaired sooner, which gives them peace of mind. Tractable said this reduces the claims cycle time by a week, so customers’ lives can return to normal sooner. This technology also eliminates subjectivity. Since cars are correctly triaged, repairers are seeing fewer total losses too.

What did you think was the most interesting theme was Connected Claims? Leave a comment on our LinkedIn.

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