Insurance claims organizations are facing unprecedented combined pressures of supply chain and talent shortages, inflation, catastrophe cycles and more. That’s changing the nature of the position, says Alan Demers, president of Insurtech Consulting LLC.
“When you’re in that head seat, you’re [generally] focused on three main things in some balance: customer satisfaction, loss cost, and loss adjustment expense,” Demers says. But now, he adds, “all chief claims officers are being asked, ‘How do you create more efficiency? Where are you on the claim automation track? How much technology have you adopted?’ The convergence of all that together is what, in my mind, makes this situation very different from previous cycles.”
It’s not all bad news though. The digital transformation happening across insurance is also aiding claims leaders. While fully automated claims are rare in most common lines of insurance business, the practice has made significant advancements in the past two years, says Stephen Applebaum, managing partner of Insurance Solutions Group. He and Demers shared what they believe to be the six most impactful recent transformations in a joint interview with Digital Insurance.