Broker pain: Graphic description of a dire motor claims process

Claims Summit will show the way forward

Broker pain: Graphic description of a dire motor claims process


By Daniel Wood

“Picture this,” said Danni Robson (pictured above). “You’re a broker who’s been working with a favoured client for years and they’ve never had to make a claim and they’ve paid their premiums on time and taken exceptional care of their assets - not to mention bringing you chocolates for your birthday every year!”

Robson is Arnie Software’s (Arnie’s) head of product. Arnie is an insurance claims automation platform created by Melbourne-headquartered Yarris Technologies.

Her broker focused, chocolate infused description is painting a picture many insurance professionals in the motor space can relate to.

What’s the motor claims process like for an insurance broker?

In two weeks, at the Claims Leaders Summit Australia, Robson is moderating a panel of insurance leaders as they discuss how to manage rising claims costs and customer service challenges in the motor claims space.

Insurance Business asked her to give an example to illustrate the frustrations a broker can experience during the claims process. Robson’s answer didn’t disappoint.

Downed trees, a destroyed car, burst pipes and severe flooding

“Your client has suffered an extensive loss after a severe storm wiped out a couple of trees on the property,” said Robson. “It also took down the shed with a prized collectors’ vehicle inside and burst water pipes in the main home causing flooding up to knee height.”

She then aptly described the frustrating process many brokers face when they file a claim for their customers.

“You’ve gone through the tedious process of lodging a claim for the incidents and now you’re logged into four different software systems,” said Robson. “You’ve been locked out of one of the systems and can’t see a status update on a loss adjuster heading out to the property anytime soon.”

Slow turnaround times and claims delays

Then, said Robson, comes the long wait.

“You’ve been on hold for almost an hour and no-one is replying to your emails,” she said. “Your customer is devastated.”

At the Claims Summit, Robson and her panel will look at how insurance companies can improve their claims processes and make cost savings without compromising the customer experience.

Leaders from Hollard Insurance, Suncorp and AXA XL will explain the use of data analytics and digital channels to drive efficiencies. The panel will also look at how to integrate technology such as mobile apps and virtual appraisals for a quicker claims process.
“Brokers need to work with multiple insurers and the systems and services those insurers choose to use,” said Robson. “Unfortunately, not many systems and services are designed with collaboration, communication and consolidation in mind which causes unnecessary delays, frustration, poor communication and undoubtedly complaints and escalations.”

Increasing third party costs

Another motor claims expert concerned about the motor claims process is Daniel Lukich. He’s AAMC’s sales and strategic relationship manager.

“There’s obviously a massive focus on motor claims inflation for insurers,” he said. “The cost of repairs and the overall cost of a motor claim is worryingly increasing for a lot of insurers.”

AAMC is one of Australia’s largest providers of motor accident management services. Lukich said, in recent years, the industry has seen a “massive increase” in not-at-fault third party activity.

“Some players in the sector are applying ever evolving sophistication in maximizing profits around the cost of car repair and the provision of replacement (hire) cars,” he said.

Nat cats and the claims process

The Claims Leaders Summit will also explore other critical claims issues.

Neale is delivering a presentation about how aerial imagery and data technology can speed the claims process and provide better information for insurers and their loss assessors.

Insurers, look out for a “runaway train”!

Ambrose Construct Group is bringing another important claims message to the Summit: insurers need to urgently prepare for a total ban on engineered stone, a product common in kitchens around Australia.

The insurance repair and restoration firm applauds the ban but Anthony McLean said it’s “a runaway train hurtling toward a sharp turn, with too much speed to take the corner.”

McLean is national operations manager for Ambrose. His keynote presentation: Silica – a property claims trainwreck, aims to raise the awareness of insurers about this fast-approaching claims issue.

Ambrose is the Event Partner for the Summit. Nearmap, AAMC and Arnie are sponsors.

The Claims Leaders Summit is taking place at The Fullerton Hotel in Sydney on May 9. You can find all the information on the event and register to attend here.


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