When FNOL Results in Multiple Claims

Posted on

March 18th, 2019

When a customer makes initial contact following an incident, they’ve triggered first notice of loss (FNOL). While many clients think of filing a claim as a one-and-done process, some accidents pose tricky challenges that can result in numerous claims stemming from one FNOL contact. The following are a few of the claims that may arise when a customer initiates FNOL:

Property damage. This is typical following a car accident. The car itself is the most common damaged property; however, customers toting expensive items, such as during a move, may have more damage to report. Coverage for this typically falls under the at-fault driver’s liability section of their insurance policy. However, if the at-fault driver lacks insurance or sufficient coverage, the other individuals can use their uninsured motorist coverage to address the property damage.
Worker’s Compensation. If the individual reporting the accident was on the job while it occurred, any bodily injury caused by a third party falls under their employer’s worker’s compensation policy.
Bodily injury. Outside of incidents that occur while on the job, customers injured during an accident are entitled to bodily injury coverage. This type of claim seeks funds for medical expenses, lost wages, and pain and suffering. Much like property damage claims, the expense for this falls on the at-fault driver’s insurance provider. If the at-fault driver’s policy limits fall short of the injured party’s needs, that individual can turn to his or her own insurance policy to bridge the gap.

All incidents have a set amount of time for a client to initiate FNOL. While property damage generally has a five-year statute of limitations, personal injuries typically only have two. This varies from state to state so it’s important to identify coverage laws for the state the accident occurred in.

It’s imperative for insurance agents to ascertain all possible claim types when a customer initiates FNOL. Customers may not be aware of what coverage is available to them to help them recoup their expenses and recover following an accident.

Navigating multiple claims can be confusing for customers, particularly those unfamiliar with their coverage. Actec can help insurance companies implement a robust FNOL call center as well as customer-centric claim and incident reporting solutions. Contacts us to learn more.

Is Your FNOL Process Compromising Customer Retention?

Posted on

March 4th, 2019

Andrew

First notice of loss (FNOL) represents the greatest opportunity an insurer has to secure a positive experience for their customers. If FNOL doesn’t go well, a customer’s satisfaction levels are likely to stay low as it’s very difficult to turn a claim around after this initial interaction. Given enough negative experiences, a customer may look elsewhere for an insurance provider. If insurance companies want to retain their customers, they will need to take several steps to make their FNOL processes as seamless, painless, and effective as possible.

Elements of Effective FNOL Processes

Customers calling in after a car accident, burglary, or damage to their home are trying to establish a sense of normalcy to their lives. They’re likely in a sensitive state of mind and would benefit from compassion from their insurance company. To achieve this, insurers need to make sure they allow customers multiple options to initiate FNOL. Some will prefer to call in the loss while others may want to start it from an app on their phone. They should also be able to obtain easy to understand and straightforward answers to their questions.

Routing claims to the appropriate professional is also vital to customer satisfaction. Improper triaging of claims can cause delays and frustrations for the customer. Today’s customers expect immediate answers and results. Insurance companies that rely on antiquated systems or fail to keep up with modern expectations will fall behind the competition. To avoid this, insurers should implement proven technology and software to streamline the claims process from FNOL to resolution.

Benefits of an Effective FNOL Process

There are several reasons insurers should want to improve FNOL. These include:

Increasing customer loyalty and retention
Closing claims faster
Reducing costs associated with delays
Allocating resources to more complex claims processes

Insurance companies can’t afford to overlook their FNOL processes. If they do, they run the risk of losing customers as well as facing backlash on social media. In the age of customer reviews, a dissatisfied customer has very public platforms to air his or her grievances. It costs much less to retain customers than it does to obtain new ones so it’s worth the investment to improve FNOL.

If your insurance company is struggling with inefficient FNOL processes, Actec can help. Contact us to learn more.

4 Soft Skills Insurance Representatives Need to Succeed

Posted on

February 18th, 2019

Andrew

Insurance customer service representatives have to familiarize themselves with the entire claim cycle from first notice of loss to claims resolution. However, knowing the ins and outs of the industry doesn’t mean an agent will automatically do well at his or her job. Insurance representatives need to possess a number of soft skills to succeed. Some of the more desirable soft skills include:

Internal communication and teamwork. Representatives need to be able to communicate effectively with internal staff as well including coworkers and management. This allows them to express needs or challenges that are preventing customers from receiving the best possible care. In addition, good communication skills means being a good listener as well to fully understand the customers’ needs. Similarly, teamwork is vital for successful customer service. When representatives work together, they can find creative solutions for common problems as well as develop strategies that play to each other’s strengths.
Conflict resolution. Customers approach insurance representatives with a multitude of problems. Many situations require creative solutions so insurance representatives need to be able to think outside of the box to solve their issues. If representatives are unable to provide a workable solution, they need to let the customer know they will reach out to management and get back to them.
Efficient empathy. Customers calling in with a problem aren’t looking to hear similar stories. Trying to associate with customers by sharing a personal related anecdote is unnecessary and takes up valuable time. Representatives should be empathetic, but a simple “I know how you feel” will suffice.
Remaining calm. Customers usually call their insurance provider when they need to make a claim. This means they are likely upset and will require delicate handling. Representatives need to remember the customer isn’t angry with them personally. Staying positive and optimistic can help the customer calm down and bring about a better experience for both parties.

No amount of skill can overcome a limited claims management system. If your claims processing is slow or irritating customers, Actec can help. Contact us to learn how we can help transform your claims handling processes.

How to Improve the Insurance Call Center Experience

Posted on

January 7th, 2019

Andrew

When customers dial their insurer’s customer service number, they usually go through a phone tree before connecting with a live person. More often than not, customers make use of this number when they have a problem. This means they’re likely on edge and customer service representatives need to be prepared to handle the call with finesse. A knowledgeable and friendly representative is likely to yield better results than an inexperienced and aloof one.

However, every customer service representative has to start somewhere; without practice, they can’t improve. The following are several methods representatives can utilize to improve the customer’s experience:

Build representatives’ confidence. A customer service representative who isn’t sure of him or herself is likely to stumble through many of their calls. Insurance companies need to provide representatives with the right tools to help them gain confidence in their ability to answer any question a client might ask them as well as offer creative solutions for customers’ problems. Providing onboarding training is a good start, but implementing quarterly training can help keep their skills sharp.
Emphasize soft skills. Most customers become frustrated with customer service representatives because they can come across as uncaring or robotic. Soft skills like communication, problem-solving, and adaptability are just as important as technical know-how. Insurance companies should provide training for soft skills to teach representatives how to be compassionate while providing accurate information.
Offer peer-to-peer coaching. Training can provide representatives with the foundation they need to offer quality customer support. However, they will encounter situations or develop questions they may feel uncomfortable discussing with their supervisor. This approach to coaching also fosters better relationships between employees.
Focus on quality. Several key performance indicators (KPIs) can help an insurance company pinpoint areas to improve. For example, the industry standard for answering calls within 30 seconds sits at about 80-85%. If an insurance call center is taking longer than this to answer calls, they are already at a disadvantage regarding customer satisfaction.

Customer service representatives field dozens of calls each day. Making sure that each conversation is a satisfactory experience for the customer is vital to customer retention. To learn more about improving the insurance claims call center experience, contact the experts at Actec.

5 Strategies to Resolve Claim Complaints

Posted on

December 3rd, 2018

Andrew

When a customer has a complaint about their claim, there is usually a legitimate reason for it. However, upset customers can become irate and difficult to deal with for insurance representatives. Even so, insurance companies can’t afford to overlook dissatisfied customers. It costs much more to attain a new customer than it does to keep an existing one. The following are several methods insurance providers can use to address claim complaints to improve the customer’s satisfaction.

Remain calm. This can be hard if the customer is angry, but it’s important to remember their anger isn’t personal. They are frustrated with the situation, not the person they are speaking to on the phone. Engaging in verbal sparring in an attempt to win the argument does nothing to improve the situation. By remaining calm, representatives maintain a professional demeanor and don’t provide further fuel to the customer’s fury.
Use active listening. Sitting silently through a customer’s complaint can backfire. While representatives shouldn’t interrupt, there are key moments to indicate they are listening to the customer. Phrases such as “Tell me more” or “I see, please continue” let the customer know the representative hears them and it taking their complaint seriously.
Recognize the issue. It is not enough to allow customers to vent themselves into silence. They need to have their insurer recognize the problem at hand. If the company made an error, they need to admit to it. If they didn’t make a mistake, they still need to acknowledge why the customer is upset. Compassion goes a long way toward resolving the customer’s complaint.
Ask questions. Once the customer calms down and the representative understands the problem, he or she can start gathering facts. The representative will need as many relevant details as possible to be able to address the customer’s complaint.
Provide a solution. Not every claim complaint has a neat and tidy solution. Company policies limit representatives to certain resolutions. However, the representative should still let the customer know what he or she is going to do to address their problem.

Following up with the customer after some time has passed can improve their perception about their insurer as well. Even if the representative couldn’t provide the exact solution the customer wanted, following up shows the provider cares about the customer. While insurers can’t avoid all complaints, making sure their claims management processes are airtight can help reduce their frequency. Contact Actec to learn how we can help your company improve its claims process.

5 Ways Insurance Agents Can Improve the Claims Experience

Posted on

November 19th, 2018

Andrew

Insurance agents influence claims during every step of the claim cycle. This gives them the unique opportunity to ensure the customer is experiencing the best service possible during a challenging period in their life. When a customer calls to report a claim, they are likely stressed and in need of compassion. The following are several ways insurance agents can help customers navigate the claims process:

Follow up throughout the entire claim. Even if there is no new information, customers want to hear about the progress of their claim. Many customers feel uncomfortable or like they’re being pushy if they call to ask for an update. They appreciate when insurance agents keep them in the loop, which improves customer loyalty and the claims experience.
Be a point of contact. Insurance claims pass through several hands during the claims process. More than one adjuster may be involved, the claim may go through multiple insurance providers depending on the situation, and scheduling damage assessment on top of all of that can make a customer’s head spin. Let the customer know they can always reach out to you to find out where they are in the claim and what the next step to take is.
Make sure they understand their coverage. Just because a customer purchased his or her insurance policy doesn’t mean he or she understands everything about it. Customers may have known the minutia of their policies when they first bought them, but they’re likely to forget over time. Insurance agents should explain their customers’ coverage in general terms until they have all the facts about the claim.
Listen to complaints. It is near impossible to complete a claim without some sort of snag or delay. More often than not, frustrated clients just want a sympathetic ear and an apology. Most complaints don’t require more than that and can boost customer retention.
Encourage prompt action. Claim delays are one of the biggest sources of frustration for customers. However, they are often the cause of the delay themselves. Pointing this out to them won’t earn any favors, but insurance adjusters can encourage them to respond to requests for documents as fast as possible. This can help keep the claim on track and improve their overall experience.

Most customers want and need someone to hold their hand through the claims process. Insurance agents who provide guidance and compassion can enhance the claims process, improve customer satisfaction, and boost customer retention. To learn more about improving the claims process, contact the experts at Actec.

Increase Customer Satisfaction After Receiving a Claim

Posted on

November 5th, 2018

Andrew

First notice of loss (FNOL) represents the single greatest opportunity to establish a positive experience for customers filing insurance claims. However, while it’s the biggest, it’s not the only moment that can score customer satisfaction points. The following are several methods insurance representatives can use to improve the claims process following FNOL.

Keep it simple. Many customers choose to report a loss over the phone, but there are a number of mobile options available to them. However, many of these mobile platforms lack clear instructions on what the insured needs to provide. This means a representative will have to call them and ask them to clarify everything they already provided. This causes the customer to feel harangued and irritated. By providing clear details on mobile apps and websites, insurance providers can ensure a smoother experience.
Speed it up. Many claims stall during the evidence collection phase. Numerous insurers schedule and send out adjusters to assess the damage. Unfortunately, the resources needed to collect and assess the claim’s data are often lacking, causing delays. The more successful insurance providers are starting to rely more heavily on mobile apps to help them collect information to avoid these aggravation-inducing delays.
Update often. Even if there is no change in a customer’s claim status, he or she wants to know about it. Leaving customers wondering where they are in the claims process is frustrating. This can be as simple as an automated email or as personal as a phone call.
Rapid payouts. When an insurer settles a claim, the customer understandably wants their money as fast as possible. While many insurance companies still send check in the mail, some are beginning to offer direct deposit as a much quicker option.
Follow up. Many insurance companies sever communications with customers once they close their claims. However, this wastes a valuable opportunity to get feedback from customers. Insurers can learn where the pain points are in their processes and identify ways to improve.

Considering that 20% of customers never complain and opt to find a new insurance company instead, it behooves insurers to make their claims process as easy and pleasant as possible. To learn more about improving the claims process, contact the experts at Actec.

Improving Engagement with Insurance Customers

Posted on

October 15th, 2018

Andrew

The insurance industry has a harder time interacting with its customer base than many other fields. The only time an insured thinks of their provider is when they receive a bill, need to renew their policy, or have to file a claim. Otherwise, the insured is unlikely to give their insurance company much thought.

Insurance companies often have impersonal relationships with their clients, and this creates significant retention problems. Most insurance companies hover at around an 80% retention rate. This means after one year, 20% of their customers find a new insurer. Traditional communications between an insurance company and their customers don’t allow for interpersonal relationships. Most customers don’t feel a strong loyalty to their insurer like they do for retail-based businesses.

This means insurance companies need to find new and effective ways to cultivate customer loyalty. Some methods to increase customer engagement include:

Data corroboration. Insurance companies gather a lot of data about their customers. They know their addresses, their phone numbers, their assets, their financial statuses, and more. However, most insurers aren’t doing anything with that information. The data exists in oversized, unusable spreadsheets or some other antiquated data aggregation system. What insurers need is software to cleanse the data to validate its authenticity, remove duplicates, etc.
Utilize analytics. Organizing data in a way that makes sense is just the start. Insurance providers need to invest in software that helps them gain insights into the information. Analytics can help identify trends to help prevent turnover. For example, analytics may reveal common signs that a customer is considering changing providers. The insurer can then reach out to that customer through a newsletter, poll, or some other method of communication to determine what they can do to improve their satisfaction.
Targeted communication. Insurers don’t need to limit their customer communications to renewals, bills, claims, and attempts to retain their business. Personalized communication is often an effective tool to keep customers engaged rather than out looking for a new provider. For example, insurance companies can send newsletters about budgeting to customers going through difficult financial periods. The key is to send data that is useful to the customers’ life situation.

Developing deeper, more meaningful relationships with customers improves their loyalty and increases revenue. To put it another way, it’s difficult to send a believable heartfelt message alongside a bill statement. To learn more about improving customer satisfaction and client retention, contact the experts at Actec.

How Insurers Can Repair Damaged Customer Relationships

Posted on

September 10th, 2018

Andrew

smart devices Much like any other service-driven industry, insurance companies rely on customer satisfaction to stay in business. If customer satisfaction is low, insurers are at a significant risk to lose their customers to competing companies. Customer loyalty is no longer what it used to be, either. Forty percent of policyholders are unhappy with their current provider and they are considering switching to a new insurer within the year.
This is a significant risk for a few reasons. Insurance companies could see $400 billion in insurance premiums switch hands over the span of one year. That is a significant amount of destabilization in the industry. While some insurers may benefit from the change, many cannot withstand such a significant change in finances. One-fourth of customers are also willing to cancel an existing contract regardless of fees or penalties. Compounding this problem, customers are willing to shop online to purchase insurance rather than using their existing provider.

Stemming the Loss of Customers

Customer satisfaction is the key to loyalty. If customers aren’t happy, they have no incentive to stay with their existing insurance company. The following are several ways insurance companies can increase customer satisfaction:

Offer personalized services. Customers dislike when they call their insurer to discuss policy options and a representative directs them to a website for assistance. Customers want personalized services so they can feel secure in their insurance policy decisions. While insurers may balk at this notion citing additional time and cost, 41% of customers are willing to pay extra for this level of care and service.
Offer affordable solutions. Continuing with the above, just because customers are willing to pay more for personalized services doesn’t mean they are willing to overlook their policy’s price tag completely. Not all customers can afford Cadillac policies with all the bells and whistles. Many need realistic coverage that makes them feel safe in the event of a claim without gouging their checkbook.
Up to date technology. Customers expect to be able to access information about their claim from any device, at any location, anytime they want. This means insurance solutions need to be mobile friendly including an app for ease of access.

If your insurance business is struggling with customer satisfaction or noticing problems with customer retention, Actec can help. Contact us to learn how our innovative FNOL solutions can help your company today.

Rapid Claims Resolution Tips to Improve Customer Satisfaction

Posted on

August 13th, 2018

Andrew

shutterstock_306793247 - Copy Customers and insurers both want rapid resolution for claims. However, insurers have to balance risk and fraud with customer satisfaction, which can result in some delays. The longer a claim sits unresolved, the angrier the customer will become. To help resolve claims without increasing risk, insurers need to put a well-organized claims process in place. Some ways to achieve this include:

Keep claims loads manageable. When claims adjusters take on too many claims at once, they are likely to drop the ball on at least one (if not more) of them. Forming claims into sets or groups based on necessary resources can help expedite the process while keeping the workload practical.
Identify the bottleneck. There are a number of reasons why claims don’t reach settlement. These include disagreements over what insurance will compensate, requests for medical treatment, and overlooked simple requests. These issues can halt a claim so identifying and addressing them can help get it back on track.
Triage claims. The number of unsettled claims can spiral out of control if adjusters don’t manage resolutions appropriately. Adjusters should first focus on claims that are ready for settlement. After that, the next most appropriate claims to settle are the oldest in order to regain those customers’ satisfaction. New claims with complex intricacies should also garner rapid attention as well so that the details don’t get lost over time. Adjusters should avoid working on claims where the claimant is uninterested in settling in favor of the above types of claims. They can always return to those claims after resolving ones that are more straightforward.
Pinpoint ways to improve going forward. Some claims remain unresolved for long periods due to inefficiencies in the claims process. When working claims, try to identify the reasons for this and implement new practices to prevent them in the future. For example, if numerous delays are the result of unanswered medical requests, consider adding a step to check for these requests at regular intervals to make sure no one misses them.

Improving claims processing from first notice of loss to settlement helps improve customer satisfaction and close more claims. If your claims handling processes are causing customer retention issues, Actec can help. Contact us to learn more about our Full-Cycle Claim and Incident Reporting Solutions.