The SCI 360 Demand Review application helps reduce claims processing times, an insurance consultant says.
The article originally appeared in AM Best, Best's Review October 2022 | Tom Davis managing editor. He can be reached at tom.davis@ambest.com.
Claims Processing App
Fred Loya Insurance, a Texas-based auto insurance company, has used the SCI 360 Demand Review application to bring about a savings of $684,000 in lost adjustment expenses and a $3.8 million reduction in liability exposure.
That's because the app transforms and automates claims processing and ultimately reduces the amount of time and money needed for the arduous task, according to Michael Sturgis, chief executive officer, SCI 360.
Following is an edited transcript of an interview with Sturgis to discuss how Fred Loya and others benefit from the app.
What was the inspiration for the app?
Every day, we're on the iPhone. It's become our system of preference, we say, where this iPhone is mobile, it's modern, it's secure, it's agile, and it's easy to use. When I want to extend some functionality on my phone, what I would do—I've learned to go to the AppExchange and download an app to extend functionality. It's quick and it's easy. Last week, for example, we made a change with our banks. I wanted to do banking online and on my phone. I went to the AppExchange. I download my new bank's app. Magically, as we expect, the application starts working.
How does this app automate claims processing and streamline the process?
What does the Demand Review app do? The Demand package is scanned or it's received electronically. It can be automated to directly inject itself in the claims management system and in the 360 Demand Review. Within seconds, you're getting an OCR [optical character recognition] review of that document. It's a contextual search the system is doing for key words and phrases. As these entities are recognized and measured against whatever decision matrix you have designed and put into play, a claim is placed on its claims journey. Now you have this touchless claims experience that you've taken from five days, and we're averaging right now 43 seconds to complete that review.
How does it boost accuracy?
Hopefully, [by] aligning the people, processes and the technology to make it a complete, efficient tool. I think the key here for any insurance company and why I went this path in our company is a business person can manage this. It's a low- to no-code solution.
How is SCI 360, the company itself, equipped to provide this tool?
Not unlike the banking app, where you download it to get what you need to make life easy for me in banking, insurance claims departments now have the ability to simply download our app and start utilizing it immediately.
SCI 360 Contact: Diane Belforti | dberlforti@sci360degrees.com | +1 (888) 318-5121 ext 713