As insurers search for growth in the wake of COVID-19, they will be looking for efficiencies that don't impact customer satisfaction. Integrating data analytics into claims operations is one way to achieve this. But to be a strategic differentiator, carriers need to balance claims professionals' judgment with data-supported insights to make better decisions. Adopting an augmented intelligence approach will deliver better insights faster, and in a way that frontline claims teams can execute.
Many insurers have already experimented with new technologies and analytics but have struggled to package the insights into consumable, executable outputs. Some technologies change the platform – or the way the function operates – by introducing workflows to simplify the claims process. This is a substantial investment, both financially and in implementation time, but it doesn't enable carriers to analyze claims patterns and operationalize outcomes. Similarly, some technologies don't provide insights into the overall picture of what's happening in a claim, and so they miss the opportunity to reduce costs.
Insurers are investigating data analytics in insurance claims to help them in three main ways:
- Identify external trends impacting claims outcome
- Process claims faster and at a lower cost
- Complement claims adjusters' intuition and experience
Finding answers to these challenges can improve the customer experience and reduce the cost to operate, all while minimizing indemnity in claims.