September 13, 2021
The Claims business at Xceedance is expanding, and as part of that growth we’ve added industry veteran Marc Rothchild to our leadership team as SVP, head of claims. Marc brings a wealth of claims operations and technology experience to Xceedance, and he will periodically share interesting and insightful stories from the front lines of claims on our blog as part of a new “Examining Modern Claims” blog series. Below is the inaugural post for this new franchise, and we hope you enjoy it.
Finding the Right Claims Technology Solution
During a recent consulting engagement I guided a large, multi-national risk and claims management team through a comprehensive evaluation process of the numerous claims management system options that are out there. They had been using the same outdated, on-premises claims system for over a decade, and both their new head of risk management and chief technology officer knew they needed to upgrade to a newer version or switch to a different claim system vendor altogether. While there is a growing pool of more than 30 vendors to choose from, each claims team and insurer has its own unique needs that must align to system functionality. In the end, they selected a fast-growing insurtech entrant that proved to the best solution to take their team to the next level operationally in their claims and risk management journey. The incumbent claims system vendor was asleep, assuming the client would simply purchase an upgraded version. However, despite having what should have been an inside advantage, they failed to understand how the client’s needs evolved.
As a key part of the evaluation, I shared a comprehensive decision-making matrix to evaluate each claims system vendor across 24 core capabilities and 6 non-functional criteria. This methodology and proven framework helps insurers define their core claims technology platform requirements and provides a systematic approach to short-list the best-fit vendors to evaluate and, ultimately, select. For this client, we helped define three considerations as their most important evaluation criteria, which was helpful when scoring and comparing the various vendors. Those requires were that the system must:
- Provide clear line of sight into all claims across their corporate properties and employee base to identify claims trends, safety improvement insights, and enable analytics opportunities;
- Be easy to use and navigate for their 100+ users regardless of end-users’ specialization;
- Offer flexible and seamless integration with multiple internal and external systems.
Now that the client has made their selection and the product has been configured to meet their needs, we are focused on phase two: data migration and future claims intake. This will allow the client to have a complete view into their new, open, and closed claims portfolio, and to identify and analyze trends for the first time across their $200M in claims financials and 33,000 WC and general liability claims.
When a client undertakes such a monumental change it is imperative for leadership to be fully vested in this transformation. It’s been amazing to witness the clients’ leadership and claims user-base build excitement as they finalize the integration and configuration to be live on this new platform handling claims only months after kicking off this journey! This speaks to the importance they placed on working with a vendor partner that has proven speed to market and offers a unique claims system that is intuitive and designed to make the adjusters’ ability to service policyholders and claimants extremely efficient. At this pace, their head of risk management and claims will fulfill her vision to wake up on Dec 31st, 2021 and have all claims accurately captured in one claim system with the ability to confidently make data-driven business decisions to improve the safety of their properties and employee workplaces. It’s a great success story.
Watch the Xceedance blog for future installments of ‘Examining Modern Claims with Marc Rothchild.’