Digitization is impacting and influencing most every consumer industry. The auto insurance industry is no exception to this trend. Increasingly customers are looking for digital solutions to meet their auto insurance needs—and that includes claims processing.
There are a number of dynamics driving change in today’s auto claims industry, including increased claim frequency and severity, a looming talent shortage and intensified pressure to reduce loss adjustment expense. To better understand these dynamics and where the industry is headed, we invited 24 auto insurance executives to share their experiences and thoughts about the entire spectrum of automated claims handling, with an eye toward the potential migration from virtual to touchless claims.
Our 2017 Future of Claims Study takes a deep dive into the results of these interviews. Key findings include:
- 79 percent of the senior-level insurance executives interviewed recognized the importance of increasing auto claims automation as a critical or top priority.
- Carrier respondents who use Virtual Claims Handling are experiencing 80 percent shorter cycle time than their peers who use Traditional Claims Handling methods
- All respondents believe telematics data will be used in claims investigations within the next 5 years