Challenge

A large retailer was looking to better manage a steady volume of low severity residential property claims arising from deliveries and installations completed by their team. They needed an efficient, cost-effective way to process the claims. The company also wanted to reduce claim cycle times to improve their customers’ experience without sacrificing estimate quality. Another key objective was to ensure minimal impact on indemnity dollars (staying within =/- 5% of their average).

Solution

The client piloted Sedgwick’s digital triage platform smart.ly, which uses leading-edge technology to automatically adjudicate residential property claims. When damage was reported, the claim was triaged using key factors such as damage type and anticipated severity at the first notice of loss. Customers with qualifying claims received an automated email from Sedgwick with a link to a form in smart.ly, where they could provide details such as flooring type and wall finish, and upload photos of the damaged areas. Once the information was submitted, the repair cost was calculated using AI-driven intelligence tools and the proposed settlement amount was verified by our claims team. In less than 7 days, the customer received an email with the claims settlement amount and an option to accept on the spot. Combining the most modern technology capabilities with decades of examiner know-how created a transformative program for property claims.

Results

During the five-month pilot, claims processed using smart.ly’s digital capabilities had a cycle time of 7 days vs. historical averages of 30 days for similar profile losses. This decreased the client’s aggregate program cycle time by more than 3 days. In addition, this digital process accelerated a shift from on-site to remote desk adjusting, which reduced expenses as well as the burden on property owners. Using our innovative platform, nearly 80% of the qualifying claims were successfully processed without further in-person adjusting services. This innovative approach helped the client reduce cycle times without impacting estimate quality or changing the overall average indemnity amount.

Those who opted into the pilot program appreciated the customer-driven capabilities, and they were able to start and complete their home repairs faster.

77%

reduction in cycle time

Nearly

80%

qualifying claims successfully resolved

Client claim costs reduced by more than

74%