There is increasing collaboration amongst finance executives, claims leaders, and actuaries to leverage digital innovations – and the result is reshaping how the insurance industry thinks about claims handling to achieve cost savings and better business outcomes.
A recent panel discussion hosted by Munich Re Life US – The Financial & Operational Benefits of AI-Powered Claims Guidance – explored the linkages between claim handling behaviors, costs and overall profitability, the cross-functional benefits of claims guidance software, and how claims leaders are winning executive support for AI-powered investments.
In today’s Part 1, we’ll hear from participants about how they see the software as bigger than just a bottom line solution. In Part 2, we’ll hear their perspectives on some common barriers to adopting new technology – and what convinced them to deploy AI-powered claims guidance.
As Thomas Lutter, CFO, Reliance Standard Life, said in the discussion: “It’s been a win. It certainly opened up, I think, the rest of the senior team’s views on making technology investments in the business. It provided ideas just through – for the lack of a better term, maybe osmosis – or in just hearing about it. There is a contagiousness to success. I really do believe that and I think it inspired other areas [inside of Reliance Standard] to start thinking about the opportunities they could have to enhance their technology.”
He added: “But I think getting an early win with EvolutionIQ was very critical for us going down that path. That early win, I think, not only not only because it was successfully done from a process standpoint but because the financial results were an opportunity for us to reinvest in additional technologies.”
Kara Hoogensen, Senior Vice President at Principal Financial Group, also stressed that claims guidance software is more than a bottom line solution: “That analyst’s experience is better and they’re able to do their work more effectively, but they also recognize the positive impact they’re ultimately having on the claimant experience. And that, at the end of the day, is hugely powerful. Not to negate the bottom-line impact, but ultimately it is much more impactful than the dollars on the bottom line.”
- Click here to read and watch Part 2 of the Munich Re panel recap that highlights common barriers to adopting new technology – and what convinced these carriers to deploy AI-powered claims guidance
- Click here to read our post about the strategic partnership between Munich Re US and EvolutionIQ that’s designed to help the companies it reinsures modernize their claims processes