Adding value through field involvement in domestic property claims.

1. Adding value through field involvement in domestic property claims. Mike Chandler Technical Expert RSA Loss Adjusting Services July 2013

2. A bit about me! • I am a proud Bristolian and an armchair supporter of lost causes in the City- i.e Bristol City and Bristol Rugby! • I have a law degree but after dabbling in several legal jobs following graduation, I was unable to resist the lure of a career in insurance/loss adjusting! • I started my loss adjusting life with Cunningham Hart and I have worked for Brocklehursts, Crawford & Co & PCS prior to joining RSA in 2001. • I have spent most of my working life in/close to my home town with stints in Southampton and even “overseas”- well, the Channel Islands at any rate! 2

3. RSA domestic claims operating model • Rapid once and done (desk) – low risk, quick settlement claims up to £500 using in-house validation tools/customers’ estimates. Cash/voucher settlements. • Rapid BAU (Desk) – as above with higher limit of £1,000 with greater use of Supply Chain to validate where needed. • Resolution Team (Desk)- claims up to £3,500. • Out of scope- MSS, Drainage, complex claims, claims with fraud concerns & matrix limit is higher (£2,000) for glazing claims. 3

4. RSA domestic claims operating model • LAS BAU (Field)- Combined buildings/contents < £10,000 (EOW < £5,000). • LAS Project Managed (Field)- Claims > £10,000 (EOW >£5,000). • LAS Technical Experts owning claims - £100,000 - £250,000. • Matrix can be flexed, e.g. in surge event situations. • We also work with external Loss Adjusting partners. • One team approach. 4

5. Loss Adjusting Services (LAS) structure- brief overview • 116 staff- 100 PM/FM loss adjusters & 16 leadership, high % being BDMA trained. • 15 in Emergency Response Team- 365 days coverage. • 8 teams with Unit Leaders and Technical Experts assigned to each team. • Monthly end to end auditing by audit team. • Use of geo-mapping to assist in mobilising staff/Eurotempest/ ERV 5

6. Other RSA Claims Service Partners • Technical Claims Unit & UK Training Academy provide support and work closely with teams. • Supply Chain manage network of builders, restoration companies and contents suppliers. • In-house specialist investigation team (CFU). • Rapid Claims Centre- provide FNOL (triage/emergency help etc) • Close working partnerships with Personal Lines Brokers. 6

7. What do Adjusting field based staff bring to the party? • Depending on size, complexity and type of loss, there is no substitute for inspecting the damage and talking to the customer. • Loss adjusters are on the front line- they are the face of the insurer and may be the only personal contact the customer has with the Company. • Insurance claims are invariably a traumatic experience for the householder- field staff are there to deal with the claim under the terms of the policy but also to lend a sympathetic ear, gain the customer’s confidence and help to get the customer’s life back to normal as quickly as possible. • Cradle to grave claim ownership which can improve customer journey. 7

8. What do Adjusting field based staff bring to the party? • Evidence gathering such as witness statements, photos etc. thus assisting/protecting subrogation rights. • Checking adequacy of cover - use of Distos etc • Checking any Underwriting issues - condition of property etc. • Identifying potential fraud- e.gs unoccupancy, tenants, business usage, non-standard construction. 8

9. What do Adjusting field based staff bring to the party? • Use of up to date technology on site such as building scoping/pricing tools help to improve customer journey- gone are the days when a customer was simply asked to submit 2 estimates! • Specialist expertise- e.g. HNW, Subsidence. • Strong indemnity controls – fast response times, thorough investigation. • Accurate reserving- hugely important in financial viability of any Insurer and FSA requirement. 9

10. Additional Benefits • Advice on loss mitigation/loss prevention- examples include flood resistant measures such as flood guards, flood resilient materials such as water proof plaster, loss prevention devices such as AquaCheck and Surestop (EOW), security devices (alarms, locks, safes). The experience and qualifications of field staff uniquely enable them to assist in these areas. • Post-loss security surveys ensuring fire and theft security risks are highlighted and both requirements and recommendations are provided to protect risk. 10

11. ............. And the result of all this is? • The customer is key in what we do as Claim Managers, claim handlers, brokers loss adjusters and loss assessors. Proper claims handling leads to a better/faster customer journey, control of premiums and shorter cycle times. • Reduced indemnity/lower leakage. Controlled costs. • Business/customer retention. • Fraud reduction which can only benefit Industry as a whole. • Helps ensure compliance with regulatory standards. • Technical mastery and professionalism benefits customer. 11

12. .......and finally a picture that paints a thousand words! 12