Insurers should embrace pre-claims tools, and here’s why

In a world where emerging technologies are reshaping the insurance industry, building and maintaining the necessary IT infrastructure to support these advancements can be a costly and time-consuming investment. But without this infrastructure, how can businesses remain digitally competitive?  

In this article, John Fearn (pictured), chief client officer at Gallagher Bassett, explores the benefits of working with a strategic partner to harness the power of best-in-class pre-claims management tools and unlock invaluable insights to accelerate your claims lifecycle. 

Navigating the evolution of risk 

Pre-claims management is an integral phase of the claims journey, particularly when it comes to risk reduction and claims exposure.  

The challenges are diverse. They stem from the ever-evolving nature of risks; regulatory changes; complex insurance lines; and the dynamic market environment. Insurers operating in the UK must navigate a myriad of variables, from emerging technologies to shifting customer expectations.  

Failure to address these challenges effectively can result in increased claims exposure, higher costs, and diminished profitability.  

To excel in pre-claims management, insurers require innovative solutions that not only identify potential risks but also provide proactive strategies to mitigate them. This demands a combination of cutting-edge technology and expert insights, to empower insurers on their journey towards pre-claims excellence. 

Benefits of leveraging pre-claims tools 

Here are the four benefits of leveraging pre-claims tools to drive superior outcomes for your claims portfolios: 

1. Proactive risk mitigation: By leveraging data analytics and predictive modelling, insurers can anticipate potential challenges and take timely preventive actions.
   Ultimately, this reduces the likelihood of claims and associated costs, enabling insurers to proactively identify and mitigate risks before they escalate. 
2. Cost containment: By implementing cost containment measures based on data-driven insights, insurers can scrutinise claims data with precision and can effectively manage claims costs.
   This not only preserves profitability but also ensures fair and efficient claims settlements, improving customer satisfaction. 
3. Improved decision-making: Getting access to real-time data and actionable insights empowers decision-makers to make informed choices regarding claims management and risk reduction.
   Through predictive analytics platforms, insurers can elevate decision-making, leading to better outcomes, reduced claims exposure and improved financial performance. 
4. Competitive advantage: By leveraging technology-driven solutions, insurers can offer more competitive insurance products in the market. Reduced claims exposure translates into lower premiums, making insurers more attractive to customers and enabling them to gain market share.
   This will allow insurers to ensure transparency in their results, evaluate their performance, identify areas for improvement, and make data-driven decisions to outperform their competitors. The ability to spot opportunities for continued enhancement across an insurer’s portfolio is a powerful advantage in shaping the future of general insurance. 

As the insurance landscape continues to evolve, the effective use of digital tools, data-driven insights and benchmarking will be key to achieving sustainable success in a competitive marketplace. 

Image: Canva

Guest Post This post was created just for Claims Media by a guest contributor.