Trade Voice: Lee Elliston, LMA
Lee Elliston, Lloyd’s Market Association claims director, considers what the claims workforce of the future is likely to look like.
The strategy for the future of Lloyd’s states the need for a “next-generation claims service that enhances customer experience and increases trust by speeding up payments”. To realise this vision will require a cultural shift. Claims professionals need new skills and an innovative mindset if they are to successfully align technology with a customer-centric service model of the future.
The objective of the vision, which has wide market support, is to build a new proposition, with supporting infrastructure and bespoke state-of-the-art technology to consistently deliver an enhanced experience to our customers. Transformation will not be achieved merely through the replacement or modernisation of existing platforms or applications.
New technology alone will not deliver this transformation. A multifaceted approach, incorporating technology as an enabler, is needed to ensure the business model and related processes also influence and define the new operating structure as it develops. The all-important culture shift will help to ensure talented people have the requisite knowledge and are sufficiently engaged to deliver the transformation. Much change is already happening within claims. The Claims Workforce of the Future report, published recently by the Lloyd’s Market Association in conjunction with PWC, states that the speed of change in insurance is arguably greatest within claims departments. It further explores the many opportunities and challenges in realising the market’s vision for claims.
In delivering enhanced claims experience, one of the major challenges as processes start to evolve, will be ensuring regular engagement with customers, while handling their claim at or above their service expectations. Improved data, and with that enhanced insight and intelligence, will empower claims practitioners with a much sharper understanding of what is important to individual customers. This will enable claims teams to be more dextrous, responsive and pro-active. It will also allow automated triage and assessment, plus near-instant part-or-full direct e-settlement payments in a seamless and much lower-touch business model, with fewer low value processing points across our value chain.
The skills and day-to-day work patterns of claims professionals must therefore adapt. While technical skills will always underpin claims functions, a greater emphasis will be placed on customer service. This will include gathering insights from pre-and-post-loss data for analysis, to form a far more accurate view of individual customers and enable better decision making. Assisted by technology, there will be a further shift in focus away from administrative tasks to more complex, value-added and client advocacy areas of work.
While Lloyd’s vision will not become a reality overnight, the transformation has begun. In addition to being skilled claims adjusters or processors, claims professionals will also soon be client advocates, customer experience professionals and account managers. To raise the customer service bar beyond the current high standards they will employ technical insight, human and artificial intelligence and analytics to enhance the service offering to policyholders, underwriters and actuaries.
The improvement of data standards and quality is a crucial early step to help deliver a data-driven model with the right technology and tools. Attention is then required on developing the corresponding culture, skills and future business model, whilst technologies are implemented simultaneously to create seamless interaction between customer, value chain and carrier, bringing the transformative step change the market desires ever closer.
Insurance POST staff