External Claims Management
Customer expectations have grown tremendously in today’s app-driven world. Constant feedback is a basic expectation, and the rapid sea change has left many insurers struggling to keep up. Complaints related to claims have increased by 33% since 2015. Improved communication greatly increases transparency, which alleviates the claimant/insurer disconnect and mitigates the assumption of neglect. Even when delays are inevitable, insurers can overcome this through automatic notifications to customers as claims are processed. These can be delivered in-app, via SMS, email or mail. Soon, this will go a step further as AI, chatbots and other digital channels are integrated into the entire claims process. For example, customers may be able to initiate a claim or receive updates through Amazon’s Alexa or Google Assistant.
Beyond communication, there is a need to improve the value exchange between insurers and claimants. Insurance is unique from other products because a customer can pay premiums for months or years before receiving tangible value back from a claim. Insurers must demonstrate to customers a significant value throughout the customer lifecycle. Claim processing is a key area for demonstrating value, with features such as a quick and painless submission process, or settling claims through a variety of electronic payment methods.
The claims process is one of the most visible and important moments in the relationship between insurers and their customers. With digitization, insurers can take steps to meet their customers’ expectations, deliver transparency, improve satisfaction, and ultimately retain loyal customers.