Claims Management Perspectives

Many reserving methods depend upon the timing, accuracy, and consistency of the reserving of the individual claims, controlled within the Claim Department. Standards and procedures within Claim Departments vary widely, and it is important to understand the working of the Claim Department in order to reasonable project ultimate losses. Further influencing the claim evaluation procedure are many external factors whose influence varies over time and by line of business and jurisdiction. These elements include joint and several liability, unfair claims practices act, punitive damages, inflation, prejudgment interest, contributory and comparative negligence, class action suits, and tort reform. This panel will explore the organization and administration of the claims function, effective and consistent establishment of case reserves in today’s complex claim environment, interaction of the reserve specialist with the Claims Department, the changing balance between claims investigation and claims bookkeeping, and the critical “message from top management.