Claims Process Automation
There is no debate that automating parts of the claims journey can
dramatically change a time-consuming, manually intensive process for
the better.
WorkFusion, an Intelligent Automation solutions company, calculates
that "automated claims processing reduces the amount of manual work
by 80% and improves accuracy significantly. It also cuts down the time
necessary for the process by 50% — which allows companies to process
twice as many claims with the same personnel."
GEICO, the 2nd largest auto insurer in the U.S., wanted to accelerate its
auto claim and repair process. To accomplish this, it partnered with
Tractable, a company that develops AI systems for accident and
disaster recovery. Tractable's proprietary computer vision technology is
"trained" on millions of historical claims and can assess vehicle damage
just like a human appraiser. By inserting AI into the process, GEICO can
accurately review estimates within seconds -- and effectively reduce its
claims overhead.
By shortening the amount of time it takes the insurer and the repairer
to review and agree on repair operations, the faster the process is to
get the policyholder back on the road as soon as possible.
Liberty Mutual Insurance's commercial property claims unit added new
technologies to inspect and estimate commercial property claims
remotely. With limited travel and personal contact due to COVID-19
restrictions, Liberty Mutual wanted to enable virtual inspection and
estimation of claims.
These new technologies join with other investments Liberty Mutual has
made to improve responsiveness while also limiting in-person contact
by its property claims professionals. For example, the insurer regularly
uses updated aerial photography to understand the size and location of
property losses. In the event of weather catastrophes, such
photography can quickly evaluate damage to commercial property
policyholders across an affected area. In addition, commercial property
claims teams across the United States already photograph the exteriors
of sites after a claim is reported without having to physically connect
with a customer or broker.
Average American
pays $1,674 per year
for auto insurance.
About 2.4% of the
average household
income is spent on
auto insurance.
Nearly 215 million
drivers carry car
insurance in the U.S.
About 12.6% of drivers
on the road are
uninsured.
Motor vehicle
accidents cost
almost $1 trillion in
losses each year.
10 million or more
crashes go
unreported each
year.
Bodily injury claims
are the most
expensive at an
average of $15,862
per loss.
Collision claims are
most commonly filed
at an average of 5.9
claims per 100 year of
insured coverage on
a vehicle.
The industry as a
whole is worth about
$311 billion as of 2019.
Auto Insurance
Statistics
TOUCHLESS CLAIMS | 7
