Imagine that – new software and advanced technology is benefitting the insurance industry, as well as the consumer, with claims processing in the U.S. According to a new report released by a global business intelligence organization, the new available technology has markedly improved the task of processing a claim, especially with regards to homeowners insurance.
The insurance industry has dealt with claims as long as there has been insurance, but how insurers deal with them today has evolved rather quickly over the past few years. As more and more technological advancements hit the market, insurance companies are adapting to the changing times by finding better ways to manage and process the claims at a much quicker pace. It has also made it somewhat easier for insurers to sort out potential fraudulent claims before insurance companies incur costly losses.
New software specifically aimed at managing the claims process has found growing popularity in the property/casualty and life insurance sectors. At one time, the claims process used to be difficult, to say the least. It was time-consuming, laborious work, but with the new products embraced by the insurance industry, insurers can speed up their claims management process, expediting payouts to policyholders, and ease the costs associated with the processing of those claims.
Per researchers, expectations are that the claims processing software industry will see its revenues rise by an average of 4 percent per year, reaching a valuation of $5.4 billion by the end of 2014, alone. It goes without saying that the demand for comprehensive software solutions is growing quickly among insurance companies, particularly those dealing with property/casualty, although other sectors, such as the automobile insurance industry, are also following suit.
Because of the massive impact of severe storms occurring more frequently, insurers face an equally severe challenge when it comes to the claims process. Intense weather has become an unpredictable and serious problem, usually resulting in major losses within the insurance industry. Insurance companies are highly pressured to process damage claims swiftly for those affected by nature’s wrath. The old way is no way to deal with what has turned into a near overwhelming issue over the past few years.
Without the appropriate software to assist insurers, the deluge of insurance claims that often come in the wake of natural disasters could possibly overrun the entire system and delay the much needed payouts to policyholders who are trying to rebuild following the devastation. With the implementation of the new software, the insurance industry, overall, has become a great deal more efficient in not only the claims processing aspect.
The technology is a powerful daily tool that has influenced the better use of time and labor among insurers, not to mention lowering industry costs that can eventually benefit the consumer in the form of improved service, faster payout to property owners for damages, and keeping premiums at an affordable level.
When used properly, we can all benefit from technological advancements and software available to the insurance industry. In times of hardship, following powerful storms, recovery can be extremely difficult, if not heartbreaking. We expect the response from our insurance company to be quick and these new advancements are helping make that possible.
We not only expect our insurer to pay out quickly in case of a claim, but we also expect to not overpay on our premiums. Make sure you’re getting the best rate on your homeowners’ insurance. Why not get a free homeowners’ insurance quote today?
Do you think you’re benefitting from the use of the new software by your insurance company? Feel free to share your thoughts in the comments section below.