Category: FNOL Technology

Tips to Improve the Claims Process and Retain Customers

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June 13th, 2019

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smart devicesWhile gaining new customers is vital to an insurance company’s success, retaining existing customers is more so. This is because it costs significantly more money to acquire a new customer than it does to retain one. If an insurer is experiencing a high volume of customer turnover, they may need to examine their claims process. The claim cycle is a vital part of the customer’s experience. By streamlining how customers file claims, insurers can improve customer satisfaction and retention.

Meet Customer Communication Expectations

Today’s customers want technological solutions to their insurance needs. This means an insurance company should offer communications through several channels including a website, a mobile app, and traditional methods of communication (e-mail, print, etc.). To remain competitive, insurers need to upgrade their system to allow customers to complete a variety of tasks from their phones or tablets. Some examples include:

  • First notice of loss (FNOL)
  • Updating policy information
  • Requesting information about new or existing policies
  • Communicating about open claims

Customers want a variety of electronic communication options. Insurance companies that fail to meet these expectations will lose their customers to more technologically advanced competitors.

Prompt and Accurate Claims Processing

Customers dislike complicated or lengthy claims processes. Improving communications and minimizing the amount of back and forth required to close a claim go a long way toward improving customer satisfaction. For example, if an insurance agent provides the wrong information or requests information from the customer several times, that customer will be unhappy with his or her experience. If this occurs every time the customer tries to make a claim, they will eventually find a new insurance provider.
Implementing an effective claims processing system can help insurance companies address any issues with how they resolve claims. Actec’s Full-Cycle Claim and Incident Reporting Solutions allows insurers to customize their entire claims process including FNOL intake, managing client and customer-specific questions and scripts, and much more. To learn more about improving how your company manages claims, contact us today.

What Insurers Need to Know to Keep the Pace in the Next Digital Age

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June 3rd, 2019

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The digitization of the claims process isn’t a new concept. Any insurer hoping to remain relevant knows they need to adapt and implement changes to keep up with customer expectations. Offering a mobile app is a good start, but transformative companies are revolutionizing the insurance landscape beyond this basic measure.

New insurers emerging from the FinTech sector harness the power of artificial intelligence alongside chatbots to eliminate brokers altogether. While this may seem like a radical business model, the processes of buying insurance and filing claims with these companies are simple and easy—a major lure to customers that are tired of confusing, frustrating traditional methods of filing a claim.

Implementing a Successful Digital Transformation

Insurance companies that want to keep pace with new-age providers need to address three areas to see the greatest results:

  1. Customer experience
  2. Efficiency
  3. Effectiveness

With happier customers, less expensive claims processes, and more accurate management of claims, insurers can guarantee their place in the industry. To achieve those goals, they will need to make the following changes:

  • Offer a digital method for first notice of loss (FNOL)
  • Automate claims management to expedite the claim
  • Accelerate loss assessments and repairs through digital means such as photos, videos, and geo-locators to find local repair facilities
  • Automate settlements to reduce customer frustration and unnecessary delays in receiving funds

Another way insurers can lean on technology is to try to prevent claims before they occur. Claims prevention is nothing new, but sending out useful information via digital means can help ensure the information reaches the customer in a timely manner. This also allows for active participation with customers through online portals and chats.

Before making any significant changes, insurers need to consider them from the customer’s perspective. If the change doesn’t offer a noticeable improvement on the front end, it won’t likely yield an increase in customer satisfaction. Insurers should focus their efforts on optimizing back-end processes to improve services for customers instead.

Technology has transformed the way insurance companies do business and what customers expect of their provider. Failing to keep pace with these things can lead to retention problems with existing customers as well as hinder acquisition efforts for new customers. To learn more about improving FNOL, claims management, and more, contact the experts at Actec.

4 Indicators of a Successful Insurance Provider

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May 13th, 2019

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It’s common knowledge that some insurance companies perform better than others do. Expensive or premier policies, however, don’t always correlate to superior coverage or a better experience. The most effective insurers demonstrate superior efficiency, better financial outcomes, and happier customers. Identifying why those providers succeed and emulating those qualities is a good place to start for new or struggling insurers.

The following are several hallmarks of an effective insurance provider:

  1. Outstanding management of technology. It’s not enough to invest in a high-tech upgrade every few years or so. Insurance companies need to frequently evaluate their processes and organizational structure to ensure maximum efficiency. For example, implementing a data-driven software program will fail if the company can’t share information easily due to antiquated department siloes. Identifying and rectifying pain points can ease technology transitions and improve innovation.
  2. Strong, customer-centric mobile app. More often than not, a customer doesn’t want to call in and sort through a phone tree for a simple update on their claim. Successful insurance companies know that superior customer service is key to keeping members happy and ensuring continued growth. An easy way to achieve this is to set up a mobile app that allows customers to access files, submit claims data, and more.
  3. Maintaining Compliance with Regulations. There are numerous regulations that apply to the insurance industry. Antiquated systems slow down the claims process, which can lead to unintentional mistakes and increase the risk of fines or penalties. High quality insurers implement up-to-date processes that allow them to remain compliant and produce accurate compliance reports.
  4. Understanding the rapidly changing industry. Insurance is not unique in its recent transformation as technology rapidly accelerates capabilities alongside customer expectations. Almost every industry has experienced massive changes; however, insurance providers have the significant challenge of overcoming legacy systems. The outdated approaches to claims management cannot keep up with the sheer quantity of data available. This incompatibility affects responsiveness, customer satisfaction, and risk calculations. Insurance companies that want to withstand the test of time will need to keep pace with new technology as well as other factors influencing the industry.

Actec understands the difficulty involved for insurers to juggle new technology, claims efficiency, compliance, risk, and more. If your claims management process is causing more headaches than it is closing cases, we can help. Contact us today to learn more about our full-cycle claim and incident reporting solutions.

Is Your FNOL Process Compromising Customer Retention?

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March 4th, 2019

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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

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February 18th, 2019

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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:

  1. 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.
  2. 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.
  3. 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.
  4. 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 Balance FNOL Fraud Prevention with Customer Service

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January 21st, 2019

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When customers file a claim, they want a rapid but fair resolution. Insurance companies that establish high-quality standards of service and consistently adhere to them experience better customer retention than those that don’t. In addition, implementing these standards can reduce the cost of claims as well as the amount of time it takes to process them. While most insurers know this, many struggle with how to achieve this on a regular basis.

This is in large part because of the many balls insurance adjusters have to juggle while handling a claim. They need to balance the risk of fraud against the need to provide excellent customer service. Otherwise, the first notice of loss (FNOL) process can rapidly get out of hand. How the FNOL process goes will color the insured’s opinion of the entire claim and their insurer, but adjusters need to remain vigilant against fraud as well.

Using Data to Improve FNOL and Fraud Detection

To achieve this balance, insurance companies need to gather a plethora of data on a short timeline. This information can provide vital insights into claims to help adjusters determine their next steps. For each instance of FNOL, adjusters need to gather the following information:

  • Policy data: Date, exemptions, renewals, etc.
  • Claim data: Date, time, etc.
  • Loss history: A customer’s claim history can provide important fraud insights
  • Public data: Third parties often provide insights into common claims, which can help insurers establish priorities
  • Extracted data: Insurers can flag claims for further review based on mined information such as an insured waiting several days to report a claim

Insurance providers can expedite many of these processes by implementing artificial intelligence (AI). Machines are able to compare vast amounts of data about claims much faster than humans can, allowing them to flag suspicious claims. Adjusters can then review the claim to determine if it bears further investigation or not.

If your insurance business is struggling with FNOL or the claims process, Actec can help. Contact us to learn how we can help you improve FNOL while streamlining your claim cycle.

How to Improve the Insurance Call Center Experience

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January 7th, 2019

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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:

  1. 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.
  2. 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.
  3. 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.
  4. 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.

Improving Engagement with Insurance Customers

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October 15th, 2018

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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:

  1. 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.
  2. 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.
  3. 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 to Turn FNOL into a Customer Satisfaction Opportunity

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September 24th, 2018

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Customer loyalty is harder to achieve than in years past thanks to aggressive competitor pricing and the ease of purchasing insurance online. It’s not new information that first notice of loss (FNOL) represents the single greatest moment to improve customer satisfaction during the claims process. However, creating a positive FNOL experience can turn a customer into a brand ambassador via word of mouth.

What Customers Want from Their Insurer

When a customer makes a claim, they are likely in a state of distress. They’re reporting a loss of some type, and are relying on their insurer to navigate the complexities of the claims process for them in a quick and efficient manner. If an insurance company suffers from a poor claims cycle, they are more likely to lose customers to competitors with more streamlined claims practices. From FNOL to claims resolutions, customers want the following from their insurance provider:

  • Empathy
  • Efficiency
  • A clear plan of what to expect during the claims process
  • Reassurance

Above all, though, claimants want to know their insurance company will respond as fast as possible. Customers can initiate FNOL over the phone, via an app, an online website, and more. The moment they begin the FNOL process, the clock is ticking for the insurance company to assure the customer that they will take care of their needs.

Effective Communicate is Vital to Customer Satisfaction

What this really boils down to is superior communication. Now more than ever, customers want to know what is going on with their claim every step of the way. They want updates on each stage of the claims process as well as next steps. Customer-centric insurance providers know this and offer customers several ways to receive updates. Some customers prefer texts while others want a direct phone call.

An insurance company that takes the time to reassure their customers at the outset of a claim as well as maintains effective communications through the claim cycle is more likely to retain customers. While competitive pricing may lure customers briefly, superior services will win out in the end. Although insurers need to make certain their entire claims process is effective, FNOL sets the tone for the entire duration of a claim. If your FNOL processes are lacking, you run the risk of losing customers. Contact the experts at Actec to learn how we can help your company implement groundbreaking FNOL solutions.

Four Ways to Improve Your First Notice of Loss Process

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August 27th, 2018

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shutterstock_306793247 - CopyFirst notice of loss (FNOL) represents the single greatest opportunity to improve a customer’s satisfaction with their insurer. However, when a customer initiates a claim, they are likely in an emotional state. Filing a claim after an accident, loss, or theft is stressful and customers have high expectations with diminished patience.
A customer’s experience matters for retention and recruitment purposes. If the customer has a negative experience, he or she may find a new insurer as well as tell his or her friends and family to avoid that insurance provider. In fact, customers are 60% more likely to talk about their bad experiences than their positive ones. Because of this, it behooves insurers to fine-tune their FNOL process to ensure their customers have the best claim outcome possible.

How Strong is Your FNOL Process?

The following questions can help insurers assess the strength of their FNOL process:

  1. Can customers start a claim through their smartphone? Technology has caused customer expectations to skyrocket, meaning they want to initiate a claim when they want, how they want, where they want. Customers want the ability to switch their methods of communication from phone conversations to digital interactions. This gives them the freedom to manage their claims from the palm of their hand.
  2. Do customers have several options for how to start a claim? Continuing with the above, customers like a variety of ways to contact their insurer about a new claim. Some prefer to speak to an insurance representative directly while others want to begin the process via digital methods. Forcing customers to initiate a claim in one specific way will frustrate them during an already stressful time.
  3. Can customers receive real-time updates on their claim? Customers don’t like to be left in the dark when it comes to their claim status. They want easy access to updates regarding their claim. This can allow them to stay up to date on verified documents as well as missing information notifications.
  4. Do employees have access to customer data? Allowing a customer to initiate claims from their smartphone is useless if employees don’t have access to that information. This requires customers to provide information multiple times, which frustrates them. If adjusters from various processes can’t connect to FNOL systems, they won’t have the data they need to progress the claim in a timely manner.

A poor FNOL process can cripple retention and recruitment efforts. Addressing the above points can help ensure a positive customer experience and continued customer loyalty. Contact the experts at Actec to learn how we can help you improve your FNOL process.