“Settling claims quickly was initially a sound strategy, but what we now know is that this approach left our clients vulnerable when the actual repair bills came in higher,” he said.
Well NO JOKE! This is what happens when you send in thousands of adjusters from all over the country who barely know how to spell insurance let alone how to adjust claims.
“They’re not looking after their policyholders very well. [And] a unit of exposure with one of these guys is going to give you more loss than a unit of exposure to a big properly run insurance company,” he said.”
Leave it to the reinsurers, and not the OIR, to worry about the customers getting prompt claim service after a catastrophe. Aspen’s CEO nails it. For many domestic insurers, their cat plan consisted of outsourcing claims to independent adjusters, in short supply after Harvey. The domestics can all point to their robust reinsurance plans, none of which ensures they have operational capacity to service a high number of claims.
What then is the solution? Keep 1,000 of adjusters on staff for the once in 5 year event that requires them? The insurance industry is already operating on razor thin margins. I think this is a problem without a solution to be frank.
“Settling claims quickly was initially a sound strategy, but what we now know is that this approach left our clients vulnerable when the actual repair bills came in higher,” he said.
Well NO JOKE! This is what happens when you send in thousands of adjusters from all over the country who barely know how to spell insurance let alone how to adjust claims.
“They’re not looking after their policyholders very well. [And] a unit of exposure with one of these guys is going to give you more loss than a unit of exposure to a big properly run insurance company,” he said.”
Leave it to the reinsurers, and not the OIR, to worry about the customers getting prompt claim service after a catastrophe. Aspen’s CEO nails it. For many domestic insurers, their cat plan consisted of outsourcing claims to independent adjusters, in short supply after Harvey. The domestics can all point to their robust reinsurance plans, none of which ensures they have operational capacity to service a high number of claims.
What then is the solution? Keep 1,000 of adjusters on staff for the once in 5 year event that requires them? The insurance industry is already operating on razor thin margins. I think this is a problem without a solution to be frank.