How insurers are using AI and deep learning to make auto claims touchless and painless

McKinsey I Claims in the digital age

Building a Seamless Automatic Claims Journey

Claims handlers and adjusters manually carry out complex tasks, leading to significantly divergent results. Digital tools and systems can simplify and standardize manual processes, by assessing estimates faster, more accurately and consistently. Standardized reports and calculation methods also give customers a comprehensive overview of how their claim was calculated — leading to higher customer satisfaction, reduced follow-ups, recalculations or litigation.

01 Automatic Vehicle Damage Inspection

Inspections are the very first step of the car insurance claim process. Deep learning can automatically detect scratches, dents, rust, and breakages. The damage and the severity can be automatically inspected by creating a 360° overview from images or video feeds. After the inspection, a report can be generated with a list of damages and repair estimate.

McKinsey I Claims in the digital age

02 Consistent Estimation & Review

Post FNOL and through the rest of the process, handlers typically decide on the appropriate next steps, such as scheduling an adjuster appointment or providing information about direct repair programs with local repair shops. Supporting the entire journey with automated processes instead, is critical to establishing truly end-to-end digital customer journeys. Digital evaluation can automatically identify the best next step in a specific customer journey, reducing manual touch points, and significantly speed up the claims process.

03 Analytics Led Valuation

Even with the use of vehicle history reports, insurance professionals are still reliant on unscientific, subjective, educated guesses, which often lead to mistakes and inconsistencies in the valuation and payout process during claims processing.

The New operating model for the digital age

Insurance industry has talked about touchless claims for sometime, as it is benefitting many different players. Customers have increased peace of mind at FNOL. They can know in minutes whether their damage is repairable or total loss. Carriers are taking a whole week off the claims cycle time. Repairers are seeing 70% fewer total losses, because their vehicles are being correctly triaged. Part suppliers are receiving parts orders much earlier because the carrier now has the precise appraisal at FNOL.



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