Optimizing Claims Processing through “Customized Partnerships”

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When it comes to auto insurance claims, the world has changed dramatically over the past five months. COVID-19 has pushed carriers past their comfort zones, transitioning entire call centers and claims departments into working remotely in a matter of days. Business initiatives such as digital or virtual capabilities had to be implemented exceedingly quick. I’ve heard carriers say that two years of transformation has happened in two months.

The crisis has highlighted how necessary innovation and agility are to our industry. Insurance leaders should always be thinking - how can I reduce friction in the claims process and deliver a better experience for my policyholders? ACD’s technology and services empowers adjusters, making them more efficient and more effective. Through our flexible technology, ACD’s streamlined and modernized workflow platform connects field appraisers, photo estimating, desk reviews and data.

Our technology does the heavy lifting, allowing a claims department to move to a virtual model for photo estimating in less than 24 hours. The best part? There’s no IT investment needed. ACD’s platform allows a carrier to shift between photo estimating and field appraising without any delays.

While we’ve worked with clients recently to make the transition to virtual, here’s an example of how we helped a TPA transform operations prior to the pandemic.

A better way to manage the material damage process
ACD helped one TPA optimize their fragmented material damage process with multiple methods of inspection.

The Challenge

The TPA used a large claims technology provider for their material damage workflow process along with several virtual estimating companies. Additionally, they had assembled a network of independent appraisers of disparate quality and service. The field appraiser’s work product was inconsistent and the workflow technology was outdated and not customizable for the client’s needs. Virtual appraisals were inaccurate and used in the wrong situations driving up complaints and supplements.

Adjusters were spending significant time tracking down assignments, calling appraisers and working within multiple systems in an attempt to manage the claims. The lack of efficiency was driving up costs and service levels were dropping.

The Solution

ACD brought in AutoLink®, our comprehensive multi-channel workflow platform that links photo estimating, field appraisers, desk reviews and data analytics into one unified solution. We rolled out a 90-day pilot where their adjusters worked exclusively on the company’s proposed packaged offering. During the course of the pilot, the TPA voluntarily expanded the program to include 30 more adjusters from two additional U.S. offices.

The Results

ACD’s solution brought the claim processing cycle times down by nearly 2 full business days in just the first month. Additionally, ACD was able to apply our Touchless Triage℠ method to incoming claims which lowered loss adjustment expenses because claims were properly allocated from the outset. Our mobile self-service estimating solution, Self(ie)™, allowed for faster cycle times on smaller losses with cycle times a short as a few hours. This enabled the TPA to put the right claims into the right hands for the right outcome.

The TPA subsequently adopted ACD’s complete solution as its standardized claims processing system to streamline its material damage operations. Furthermore, the client has been providing adjusting services to third-party insurers, self-insured and fleet companies. ACD is now the backend technology and material damage solution for the services and we’re now working on a full integration with the client’s core adjusting system.

The world has changed in a matter of months. So, too, has the insurance industry. The future of claims is about delivering what the customer expects as well as workflow flexibility – determining the right damage appraisal method and, most importantly, providing an accurate assessment.