"For Toby Clegg, chief executive of Lloyd’s broker Clegg Gifford, the answer to this question is a resounding yes.

Earlier this week, he told me: “Too many brokers step away from an involvement in claims.

“Even on the London market side and Lloyd’s, there seems to be a desire just to walk away from the problem and focus on the broking activity. [It is a] great shame. I think [brokers are] missing out.”

Clegg said that Clegg Gifford invests heavily in its claims function – its claims team now boasts 50 members of staff, “which is pretty unusual for a broker, but it’s central to what we do”.

Reported by Katie Scott Insurance Times 24th Feb 2022

With the same vision and strategy brokers can indeed implement effective claims combining automation, eNOL and enhanced FNOL when customers need personal advice and digital workflows to triage activities with insurers, supply chains, repair networks etc.

Whether simple accidental damage claims, storm surge events, or CAT events there is a claims solution for all brokers. Not just for brokers managing claims themselves but also orchestrating yhe claims journey with carriers. 

I'll be writing more on choosing the right technology partners over the next couple of weeks. You can see a good choice in the list below in alphabetical order.

"New Legacy" Claims Management Platforms

  • CoreLogic
  • Verisk

"New CoreTech" Claims Management Platforms

  • 360SiteView
  • Claims Genius
  • Claim Technology
  • RightIndem
  • Salesforce Industries (Insurance)
  • Snapsheet
  • Synergy Cloud

No one platform will have everything an insurer, broker, MGA requires. You will need to add third-party solutions to deliver all the requirements an insurer, broker, MGA will demand.  

 

Third Party Software

Policy Admin, Claims Validation and Triage

  • Iotatach
  • Sprout.ai
  • World Programming InClaim

Claims Damage and Cost Estimation (often combinations of these)

  • Be Valued
  • Claims Genius
  • ClickIns
  • SLVRCD
  • Solera/Audatex
  • Symbility (CoreLogic)
  • THESL
  • Tractable
  • Value Checker
  • Verisk
  • LexisNexis
  • CCC
  • Mitchell

Property Repair & Restoration

  • Next Gear
  • Westhill

Liability Assessment

  • BAIL

Counter Fraud

  • 360Retrieve
  • BAE NetReveal
  • Shift
  • World Programming InClaim

Key Data Sources for claims management

Insurance was founded by leveraging the best of data to price risk, provide protection and manage business. “Data-driven” is a familiar refrain but the question is which data and intelligence is best and how can I integrate it into my systems?

Some platforms are positioned as key providers e.g., CoreLogic for home and property from selling to protection and Verisk for auto and increasingly property. Their offerings are most complete in their home territory, North America, and expanding in Europe especially the UK and DACHS regions.


Claims platforms generate data in real-time and are a prime source of intelligence for decision making, fuelling AI and rules engines including counter-fraud. There is a frightening amount (circa 80% of unstructured data hidden in data silos, web forms, emails, SMS messages, voice files) that insurers must be able to access, normalise and analyse.

In addition, insurers need to license external data to feed the AI applications penetrating all parts of insurance with a selection listed below. Again, you will want to ensure that claims platforms and core technology can surface and leverage these.

  • CCC- auto vehicle data
  • CoreLogic- manage property data for selling, financing, and protecting property
  • Hazard Hub- property risk data
  • ICEEYE- global flood earthquake and CAT damage data in near real-time
  • KETTLE- house-by-house risk assessment across USA
  • LexisNexis- vehicle, ADAS and home data
  • McKenzie Intelligence Services Ltd wide range of data
  • Mitchell- Auto data
  • SAFEHUB- building specific US earthquake damage
  • Synectics identity, financial and fraud data
  • Terrafirma property risk data
  • Verisk- auto and property data
  • WeatherNet- granular and near real-time weather data
  • WhenFresh- wide range UK property data

Final summing up and advice

Some advice from Geoffrey Moore famous for his "Crossing the Chasm" Book and consulting. about innovation, startups and successful scaleups. Those in  the lists have crossed the chasm

Technology is just a part of the answer- you need to now why digital claims are needed to grow the business and where you are today and need to be in the future.

" Let us assume we have a clear design for your desired future state. It won’t take you long to realize there is little chance that a single intervention can get you from here to there. So, the next major deliverable must be a roadmap organized around a maturity model, or what we like to call, a stairway to heaven. Each step up the stairway should be designed to deliver value upon completion, thereby allowing the organization to pace its change management, funding things as it goes, building its confidence, and reassuring its various stakeholders.

With such a roadmap in place, now you have a current-state/future-state accountability mechanism that can govern each stage of the transformation—the software and systems, the systems integrators, the process owners insider your enterprise, and the people responsible for executing the processes. As we have noted elsewhere, digital transformation is not a restaurant. You cannot simply pay for it and have it delivered to your table. It is a gymnasium. You still have to pay for it, but to get any value out, you have to actually do the transformational work yourself.

Wise words

Look out for my articles on www.insurtechworld.org in the next week or so.

Further Reading

The best insurance claims process for the digital world

Why insurtech should avoid incrementalism 

Emerging auto insurance products, insurtech and innovation 

The (in)convenient truth about insurance claims 

Sønr, Altus DigitalBar and consumer research demonstrate that BoughtbyMany offers lessons for all insurers, brokers and insurtechs