Auto insurance carriers are increasingly using automation to increase efficiencies, reduce costs and improve their competitive edge. This trend is leading towards a fully automated, or “Touchless Claim,” process in which there is no human intervention at all.
We first captured this phenomenon in our 2017 Future of Claims Study. For our 2019 Future of Claims study, we dug deeper into the motivations behind the progression from Traditional to Touchless (manual to fully-automated) claims processing. We also sought the customer perspective to understand whether or not carrier actions align with their needs.
Here are some key insights from our study:
- Carriers are embracing Virtual Claims Handling (95% of carriers are using or considering it).
- Touchless Claims Handling is growing in popularity (79% of carriers are considering it or open to the idea).
- Consumers appreciate the convenience of automated claims processing, and are less satisfied when they have to interact with more than one person to process their claim.
- One in five consumers prefer self-service claim options, but don’t want to have to answer a lot of questions at First Notice of Loss.
- Carriers who are using claims automation are benefitting from significant efficiencies, along with higher customer satisfaction.
Overall, the study results point to a strong alignment between carrier practices and consumer desires. The results also reveal consumers desire for a personal touch and the opportunity to talk with an agent when needed. This tells us there is room to extend automation for greater mutual benefit―as long as carriers can maintain empathy with their customers and provide automated claims services that align with their customers’ wants and needs, both carriers and consumers can experience better satisfaction with the claims processing experience.
Watch the video below for highlights from the 2019 Future of Claims Study and click here to download the full report.