Digitalization is not the same as Automation

Few have implemented an automated claims process – even though it’s needed to stay competitive

Published on:

5 April 2022

The lack of automation

The use of data in claims management has been on insurance companies’ agenda for many years. Insurers know the impact data and automation can have on everything from in-depth understanding of claims, improved claims management and product development. But when talking to insurers around Europe, we realize that few have yet to implement an automated approach in their claims process.

 

If customers don’t get results they will go elsewhere

Enabling digital transformation is a must in any industry. To stay competitive, businesses must meet customers where they are and respond to them almost immediately when they need something. For many, if they don’t get the results they want in a timely manner, they’ll go elsewhere to get what they need faster, easier, and without hassle.

 

What does self-service really mean when it comes to Insurance? 

Claims automation are a hot topic in the P&C industry – but when we speak about self-service, we are often met with confusion of the real meaning of it. The definition of self-service is simply “the serving of one-self” but to what extent is kept undefined.

A lot of insurers state they have digitized the claims process, and yes, we see a lot of digital forms and submission pages at various stages at insurers platforms. Most of the time you can find an easy digital way of filing a contents claim on your own as a policyholder. The value of this is of course the paperless way of working, and that the insurer can release time from claim handlers picking up the phone. But is this all there is to gain in this digital era? 

 

True claims automation does not equal a digital form

Making the FNOL stage digital by utilizing a form online is a great start, but we believe that there are more benefits of not only digitizing parts of the claims process, but also automating the claims journey. From filing the claim, staying informed throughout the process, having all information available in a transparent way and being informed about the claims calculation and valuation in a seamless journey without any manual work. 

Policyholders want to have all the information at the palm of their hands – with flexibility, ease and a great digital experience. So, by just digitizing a form for filing claims you still have a long way to go if you want to become truly automated. 

 

Focusing efforts on what really matters

Insurers need intelligent claims management to drive the claim process automatically from FNOL to closure and ultimately pay-out. Although straight-through-processing might be the desired result, it’s equally important to automate as many steps as possible so customer service and adjusters can focus on complex issues that require expertise and empathyClaims organizations seek new ways to increase efficiency, lower claim expenses, and increase claims accuracy. If this is what you really want – automation is for you, not only digitalization.

 

Is your insurance company future-ready? The future of insurance will be digital – and we’re here to help you future-proof your business. Contact us <>