Claims Management Depends on Investing in Employees

By Joe Anderson, CPCU, ARM AFSB, CBRA

Principal & Fractional Chief Risk Officer


Are you interested in better performance in claims management? Is that claim that "ballooned to a huge number" still gnawing at the back of your mind? Maybe the quality of the people managing you claims matters more than their use of technology?

A recent study by Corvel indicated the number one differentiator in claims management improvement, is a "People First" claims management culture.

Their report finds third-party claims administrators, who implement people-first approaches, are reporting (compared to industry benchmarks):

1) Claims closure rate improvements of 4.2%

2) 27% decreases in indemnity payments

3) 20% reductions in medical costs

The article says: "... successful claims management organizations are positioning technology as a complement to, rather than a replacement for, human expertise. This approach recognizes that complex claims resolution requires judgment, empathy, and nuanced decision-making that technology cannot fully replicate."

At Fortify Risk Management, LLC, we have found that claims oversight and advocacy by experienced outside professionals can elevate your claims reduction initiatives even more. Find out more here.

Source: https://riskandinsurance.com/claims-management-success-hinges-on-human-capital-investment-amid-industry-talent-shortage/

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