Managing risk is what insurance is all about. Unpredictability rules the roost. Tornados touch down in unexpected places, super storms are drifting further up the northeast coast. Western U.S. droughts are unprecedented. Trends point to more disasters to come. Unpredictability is not just the nature of the business, it’s the nature of nature itself. Having the flexibility to choose among options – such as deciding whether to outsource or insource your claims services, or whether to deploy software or request services– is key to survival.
As a trainer for our ContentsExpress adjustment and settlement software, I have the opportunity to see firsthand how our customers are using some of the great features the product offers. ContentsExpress is an intuitive way to keep track of all of your contents claims – in effect, your very own claim repository, but two of the coolest features the software offers are often overlooked. These include the payment tracker which provides you with an on demand view of all payments, and the recoverable depreciation module that makes quick work of painful receipt matching and calculations.
The first methods of transferring risk were practiced by Chinese and Babylonian merchants as early as the Third Millennia. This practice of transferring risks has since become known as insurance. The practice at its core remains the same- taking measures to reduce risk in case of a loss. Insurance technology on the other hand has varied greatly even just in the past ten years. Continue reading
Swiss Re reported recently that global catastrophic losses for the first half of 2011 will cost the insurance industry around $70 billion. That’s already the second most costly year on record for catastrophic losses, and we still have to add Q3 and Q4 losses for the final total.
While some might think these numbers would leave the insurance industry strapped for cash, a recent survey from Novarica, a research and advisory firm focused on technology strategy in insurance and financial services, found that IT spending is expected to increase in 2012. Continue reading
Karlyn Carnahan, a principal in Novarica’s insurance practice, recently wrote an article for Insurance & Technology on the modernization of the claims process. In her article, “The Claims Modernization,” Caranhan explores the way carriers can improve the claims process by upgrading their core claims administration systems and taking advantage of new technology solutions. This is exactly what Enservio is providing to dozens of carriers – helping them increase efficiency, cut costs and improve customer service. Continue reading
A recent article in National Underwriter Property & Casualty titled, “Insurers Must Combine Tech Agility & Intelligence,” includes comments from several industry analysts attending the ACORD/LOMA Insurance Systems Forum in Las Vegas discussing how carriers, having weathered the storm of the recession are now eager to spend on product development, specifically on technology. Product development is important, but carriers need to remember to work on investments that improve customer satisfaction. As the article states, consumers have a negative view of the insurance industry because insurers only seem to show up when something bad happens. Now is the time for carriers to change that perception and focus on their customers and how they can provide value to them. One quick and effective way to do that is through better contents claims handling. Continue reading