Hello, this is Matt Rogers from CRS. Today, we will discuss the significance of claims management. The term is well-known, but what does it mean? The purpose of this post is to explain the importance of claims management and the need for a strong claims management program from the broker you work with, particularly in the commercial construction industry.
I recently received a call from a construction company that was experiencing a major problem. As is customary in the industry, they were softening asphalt with a blowtorch. Regretfully, they were hurried to complete the task. From a road crew resealing a parking lot to a dry-waller in a high-rise, I’ve observed that rushing is a common issue in claims. When people are told to hurry, their work frequently suffers, which can result in mishaps and, eventually, lawsuits.
The Need to Report Claims Right Away
A claim is not about fault; it is an accident. We have insurance in order to guard against these risks. However, it’s imperative to report any possible claim right away, regardless of whether it’s auto, general liability, or workers’ compensation. Early reporting can save your business a lot of money, but most people are reluctant to do this.
Your insurance company can intervene to reduce the total cost of the claim if they are informed as soon as possible. Getting the worker medical attention and physical therapy as soon as possible after a workers’ compensation injury helps them heal more quickly and return to work sooner, which lowers the cost of the claim.
Liability claims are subject to the same rule. The business that used the blowtorch ultimately caused a building to catch fire. An adjuster could have been on the scene immediately if I had gotten the call. This prompt action lessens the harm, manages the matter efficiently, and keeps lawyers from becoming involved and complicating matters. Taking prompt action helps prevent your insurance rates from going through the roof.
Your Broker’s Function in Claims Administration
Working with a commercial broker who not only understands claims management but also has a clear protocol for putting it into practice is crucial. They ought to act as your go-to advisor.
You should contact your broker rather than the insurance company directly when a claim or possible claim arises. They will work with you to strategically determine the best course of action for your business, not just file it. You can get assistance from your broker:
Plan your claim procedure: They can assist you in determining the best time and method to file.
Keep an eye on the claim: A competent broker will monitor the status of the claim and try to close it before the date of your policy renewal, which can have a big effect on your rates.
I hope this clarifies the significance of claims management and the benefits of collaborating with an experienced broker.
If you have any questions, please feel free to contact me
