Insurance -- Part 3: Claims Management - DZone AI

An insurance claim is "a formal request to an insurance company for coverage or compensation for a covered loss or policy event" (source: www.investopedia.com). Once initiated, the claim often goes through a complex process with one of two possible outcomes -- the claim is either accepted, leading to a settlement, or rejected. The claims process would typically be: contact the insurance company, start of the claimant investigation, check the policy coverage, evaluate the damage and arrange compensation payment. UK insurance industry figures are staggering. On average, £33m are paid per day in motor claims, £13m in property claims, £12.5m for policy protections, and £1m for travel claims; the average bodily injury claim is close to £10k; more than 98% of motor claims have been accepted, and the yearly cost of fraudulent claims is £1.3bn.