The insurance industry standard for notice of loss to a carrier is "as soon as practicable." But in the eyes of many policyholders who have suffered a loss, the standard is "right away," or as soon as the loss occurs.

To achieve that standard, carriers need to provide policyholders with the ability to report a claim in the manner they desire, whether by phoning a call center, contacting their insurance agent, or going to a Web site.

A key element of providing such a high level of service to policyholders is developing the capability to accept loss notices via the Web.

A homeowner may want to go online to report a vehicle theft, burglary loss or hail damage. A motorist may choose to notify his or her carrier of an accident using a wireless personal digital assistant. To serve either of these claimants, carriers need to develop the platforms and interfaces to allow Web connectivity.

Use of Internet and wireless communication will continue to grow as technologies advance and policyholders increasingly expect such capabilities.

The proliferation of wireless phones equipped with built-in cameras opens the door to a scenario such as this in the not-too-distant future: A claimant is involved in an accident, takes photos of the vehicle damage with a camera-equipped phone, and then attaches them to a notice-of-loss e-mail message sent to the carrier.

The Internet also can help improve claims management. When a claim arises, adjusters and examiners must investigate, negotiate settlements and authorize payments. Meanwhile, investigators deal with claims in which fraud or criminal activity is suspected.

Insurance companies and independent adjusting firms employ adjusters, appraisers, examiners and investigators to handle claims, interpret and explain policy or regulations, and resolve billing disputes.

Using Web-based systems, claims adjustors can--from a single screen--access policy information and current claims data. Litigation managers can view current billing and case studies. Agents can make address changes without ever contacting a call center.

Tracking capabilities allow monitoring of individual claims status in real-time. Claims rules embedded in systems help provide consistency among claims resolutions.

Improvements provided through such Web-based capabilities can include reduction in claims processing expenses, faster claims processing and better customer satisfaction.

A claim investigation can have numerous aspects, depending on the nature of the loss. Comparative or contributory negligence may be a factor, raising the issue of subrogation.

An outside resource may be needed to assess collision damage and determine if a vehicle has been totaled. If it is a total loss, salvage arrangements must be made. Also, signs of potential fraud may warrant further investigation.

New technologies are emerging that can help address the many questions associated with claim investigation. For example, consider the potential of using the Web and a global positioning system to help manage and expedite a claim.

A vehicle accident loss is assigned to a claim representative, who contacts the insured to find out where the vehicle is located. Upon capturing the details regarding the vehicle's damage, the representative determines if there is sufficient damage to bring in an appraiser.

Using a handheld or desktop computer, the representative pulls up a Web page that shows a GPS-equipped appraiser is nearby. A query to a central assignment system indicates the appraiser has the capacity to handle the claim, and the representative's request for support is fulfilled.

In today's highly competitive market, and with carriers facing ever increasing customer service expectations, it is essential for insurers to improve the productivity of the field staff workforce.

A Web/GPS solution can significantly boost efficiency by dynamically assigning resources located near where work needs to be done, rather than relying on static, map-based assignments.

It is important to recognize that deploying such tools is a complex undertaking, involving satellites, internal system interfaces and other functionality.

The Internet will continue to expand in importance as a way for insurance companies to communicate with and serve customers. Through Web-based services, insurers can enhance relationships with providers, vendors and other partners.

The growing use and capabilities of Web-based technologies also will continue to transform how insurers conduct day-to-day business, opening the door to cost savings and greater operational efficiency.