Free checklist helps firms to reduce claims leakage and control costs in line with the FCA’s thematic review of claims management
DST, a global provider of strategically unified data management, business processing and customer communication solutions, today released a new Claims Handling Checklist designed to help insurers meet the emerging technological challenges and required standards of the claims process.
Split into five sections with action points in each, the checklist provides a practical guide for insurers responding to the Financial Conduct Authority’s recent review of claims management. The DST checklist highlights the key areas that firms should be addressing, as well as the questions to ask to avoid running into trouble further down the line.
According to Simon Penny, head of insurance, Business Process Solutions, DST, the checklist addresses a wide array of problems in the claims handling area that still plague the industry:
“We know from the Financial Conduct Authority’s recent thematic review that a significant number of claims took longer than necessary to settle because of poor claims management. DST’s checklist will help firms to address this issue by identifying where claims management systems are hindering rather than facilitating the drive for a more profitable business.
“Effective claims management is central to any insurer’s success. Getting it right means happy customers, efficient cost ratios, and reduced indemnity leakage.”
The Financial Conduct Authority’s thematic review of claims management was published in May 2014. According to the report, claims leakage in the personal motor and home insurance market alone were calculated to average 13%.