<img src="http://www.bdg001a.com/40742.png" style="display:none;">

DWF 3Sixty Blog

Claims Management Systems - Get the Basics in Place First

Posted by Tristan Dorman on Oct 7, 2014 1:09:57 PM

We recently worked with an organisation which was undergoing a broad range of changes designed to drive efficiencies across all divisions, including the insurance department. As is often the case, the insurance team was small, extremely busy and massively constrained by labour intensive systems and processes.

The decision had been taken to introduce a claims management system in order to improve the way claims data was recorded and governed and to ultimately enhance decision making via access to real time management information.

A business analyst had worked hard to pull together almost twenty pages of information including the current and future insurance claims processes and a lengthy list of functions and capabilities that a claims system would need to deliver in order to make the department more productive.

Unfortunately, what wasn't considered was the amount of time and effort that would be required from the already hard pressed insurance team to flesh out the requirements and to be involved in system testing throughout the project.

The project timescale was particularly zealous and, as it transpired, this all proved too much and resulted in a complete change of scope.

What the organisation wanted was an all singing and dancing system that integrated seamlessly with other software to create an end to end process. Nothing wrong with that - it makes perfect sense to automate and synchronise wherever possible.

However, all the insurance team actually needed was a system that:

  • Tackled their key pain by removing labour intensive, manual processing
  • Produced reports effortlessly and painlessly
  • Generally made it easier to do their jobs

Somewhere along the line this was missed and I dread to think how much time and money was wasted, not only in the project requirements gathering and tender process, but also in the prolonging of the insurance team's pain by delaying the introduction of a simpler, lower cost system that would have had an immediate impact on team productivity and morale.

Please don’t misunderstand me, it’s absolutely the right thing to do to diligently gather requirements in order to ensure that you procure the right system - one that will serve your immediate and future needs.

However, although developing an exhaustive list of claims system requirements is important, it is critical that they are prioritised quickly in order to get right down to the basic needs that a claims system must provide so you can get a solution in place fast that takes away the team's key pain points first.

Striving to create the perfect claims system merely ensures that it will never launch and, as time passes and enthusiasm wanes, development costs will come under scrutiny and, unless there is a rock-solid business case for continued investment, the project will be shelved. Don't just take my word for it though as a recent Gartner survey concluded that larger project failure rates are almost 50% higher than smaller ones.

When it comes to introducing software, less is more. For us, this is just basic common sense.

We’ve learned from experience that systems evolve over time to meet the demands of the business. Our approach has always been to help our clients tackle their immediate pain points first and to deliver additional functionality in phases.

We call this Evolution, Not Revolution and it works for the following reasons:

  • You pay only for the functionality you need right now – you don’t need all singing and dancing when you're still learning to walk
  • Simpler launch and roll-out process – the last thing a busy team need is to have to learn a complicated system which actually slows them down.
  • Increased adoption - people are change averse and we find that adoption is higher when they are given systems that fit the way they are used to working, are easy to understand and which make it easier for them to do their jobs
  • Phased functionality - once the initial system has bedded in and users are familiar with it, bolting on additional functionality (particularly that requested by the users) is much more straight forward and better received
  • Designed by users - with our approach, users of all levels are actively engaged in the discovery, testing and future development of the system, thereby ensuring that they have a system that they have helped design and which makes it easier for them to do their jobs

Don't get caught up in the nice to haves and bells and whistles when, right now, you simply need a claims system that handles the basics and automates processes, introduces workflows, flags overdue tasks, records all claims and policy related information and delivers instant claims reports.

With EvoClaim, you get all this and more as standard, with the added benefit of being able to configure the claims system to fit exactly with your claims processes.

If you’re considering the benefits that come from automating your claims processes, why not take a look at what EvoClaim can do for you. Claims system demos are conducted online, at our London and Leeds offices, or at your premises.

If you’re interested in finding out more, please call Danny Shipman on  0333 010 7999 or email info@3sixtysystems.com.


You may also be interested in:

Airmic's 8 Components of Claims Handling Excellence7 most bizarre insurance claims of 2015Download our latest whitepaper

Topics: Insurance Claims Management, News and Events