To win the war on talent, consider building an on-demand insurance workforce
Carriers and the supply chain surrounding them have been training personnel at the highest pace seen in years, but finding that talent remains a challenge.
The world of work is going through a perfect storm right now, and it’s created a very tight talent market across all industries. The insurance industry, and claims in particular, are not exempt from this challenge.
We’ve got an aging workforce, which is causing a surge in retirement that is projected to continue over the next couple of years. At the same time, the Great Resignation has absolutely impacted the insurance industry, resulting in many adjusters making the decision to retire or no longer work full-time. Furthermore, there is a scarcity of talent and insufficient available labor in most markets. Many carriers and the supply chain surrounding them have been training personnel at the highest pace seen in years, but finding that talent remains a challenge nonetheless.
All of this together has caused a skill deficit and created a sense of urgency for organizations as our industry struggles to deal with this war on talent. As adjusters step away from their roles and their skills and expertise leave the sector, it’s vital that we continue to train new talent to avoid a “brain drain” due to an increase in natural disaster claims. But training in and of itself will not be enough.
Technology can help fill the gaps in the form of digitization and automation. Adoption of tech solutions is growing exponentially even as we to continue to invest in training new talent to make sure we have the right individuals to handle complex claims. But technology on its own will also not be enough.
In this challenging environment, organizations should consider making an on-demand workforce part of their claims staffing solution.
A 1099 worker-based roster solution is an out of the box approach to addressing claims staffing pain points that also brings with it other undeniable benefits in today’s market. It makes good sense to outsource property loss services to experienced professionals who can conduct onsite inspections for overwhelmed adjusters. Third-party services can provide credentialed, professional help when carriers need it, offering flexible capacity and helping carriers convert fixed costs into variable costs as they manage weather volatility.
1099 networks have grown over 30% in compounded average growth rate (CAGR) over the past 10 years. These networks provide a scalable and wide-ranging capability set for adding capacity to the inspection needs within the P&C industry. We expect that these networks will continue to expand in conjunction with disruptive technologies that will further improve the on-site data capture capabilities.
The net effect over the near future will be increased speed of claim resolution, improved accuracy, expanded resource capacity and ultimately lower costs to the stakeholders.
This tested approach is already driving results within the claims industry.
Crawford delivers on-demand inspections by recruiting, onboarding, and maintaining extensive networks of resources. We currently deploy on-demand inspectors through a variety of networks to gather claims information faster and more efficiently than ever before. Our 45,000-plus 1099 workers are located on average just 11.2 miles away from the claim and deliver on average in just 1.53 days.
In the U.S., our on-demand inspections are delivered through two primary networks. Data and image gathering is largely handled today by our “Looker” network, a flagship network of over 45,000 on-demand resources that stand ready to gather images and information for high-volume, low-complexity claims. With pervasive coverage, the Looker network is ready to respond at a moment’s notice and can provide information to claims handlers in a matter of hours rather than days. Similarly, our expansive “Professional” network can facilitate more sophisticated inspections when expertise is needed.
The feedback from carriers about the use of on-demand gig workers in the claims space has been extremely positive. They see the benefit of having networks of individuals that are based throughout the country, within 11 miles of an inspection site. This level of workforce distribution means we can get to a site very quickly to take pictures and gather data so that the claim can then be adjudicated at the desk. Not only does this speed up the process, but combining it with technologies such as 3D modeling also yields highly accurate measurements. When you combine a network with technology, we’ve seen, you can actually have a consistent deliverable for clients every time.
No one silver bullet is going to solve all of the industry’s talent issues.
The war on talent is not going away any time soon. To address the resulting labor challenges, we must find solutions on all fronts, from recruiting, hiring, training and retention efforts to making technology investments that will improve productivity, efficiency, and customer experience. Creative alternative approaches like an on-demand gig workforce can not only bridge the gap, but offer new efficiencies to the industry that will take us into a new era of claims handling and resolution.
Meredith Brogan is president, network solutions of Crawford Catastophe & WeGoLook.
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