New Ideas Emerge on How to Leverage Data Analytics for Maximum Operational Savings and Minimal Losses
SAN DIEGO, CA — (MARKET WIRE) — April 23, 2007 — On March 14th, 2007 the fifth annual Mitchell Medical Conference drew to a close in San Diego, CA, after bringing together more than 130 insurance carrier executives, claims processing experts and consultants.
Over a three-day period, Mitchell Medical Conference participants, including J.D. Powers and AssociatesÂ®, McKinsey & Company and LexisNexisÂ®, engaged in presentations and panels on issues of critical importance to the automotive casualty claims marketplace, such as:
–Â The challenges and opportunities associated with creating an
integrated casualty claims solution: Lower costs via more effective claims
–Â Boosting customer satisfaction by increasing claim satisfaction to
drive competitive advantage;
–Â Driving loss costs downward with better handling of critical claim
segments such as 3rd party injury claims;
–Â Fighting fraud in medical claims; and,
–Â Effective casualty claim cost management through predictive modeling.
Out of the many topics discussed at the conference, the issue of how to use data analytics to reduce loss adjustment expenses (LAE) and achieve operational excellence in managing casualty claims emerged as the main attraction.
“Claims handling for the casualty claim industry, including reviewing medical bills and evaluating bodily injury and property damage liability claims, has historically been characterized as inefficient and error prone due to the manual nature of the tasks involved,” said Tom McCarthy, Sr. Vice President and Founder of Mitchell Medical. “Automation and decision support tools leveraging powerful predictive modeling techniques can provide insurers an opportunity to improve the efficiency and overall effectiveness of their claims operations.”
Employing best practices in managing casualty claims is just one aspect of a well run claims organization. Speaking about the importance of a customer’s experience in the claim process, Kevin Keegan, J.D. Power and Associates, said: “When an auto claim occurs it becomes a decisive moment of truth with customers, accounting for 44% of a customer’s perception of their carrier. How well the customer experience is managed drives renewal behavior, their willingness to recommend their carrier and their tolerance of price. It is important for carriers to pinpoint and execute the practices that will surprise and delight their customers.”