Claim Settlement Cycle Time (P&C)
This PDF report includes benchmarking data (in a visual, chart-based format), an comprehensive KPI definition, characteristics of high performers and technical details on measuring Claim Settlement Cycle Time (P&C). Purchase and download this easy-to-understand, presentation-ready report immediately to compare performance levels, set attainable performance targets, and push towards best-in-class performance for this KPI.
What is Claim Settlement Cycle Time (P&C)?
The average amount of time (measured in calendar days) required to settle a property and casualty (P&C) insurance claim, from the time the claim is reported (i.e., first notice of loss, or FNOL) up until the claims is formally settled by the insurer. P&C claims primarily include auto and homeowners insurance-related losses.
Why should Claim Settlement Cycle Time (P&C) be measured?
Property & Casualty (P&C) insurance claim settlement cycle time measures the average amount of time required to settle and close an insurance claim, from first notice of loss until settlement. This KPI is extremely important, from both a customer experience and loss control perspective. Extended settlement cycle times may be an indicator of claims leakage (i.e., losses paid out are higher than they should/could be), which impairs the organization's profitability and standing with shareholders. Furthermore, lengthy claims cycle times are a leading driver of customer turnover. Major factors that drive longer claim settlement cycle times include poor claims triage procedures (i.e., claims not prioritized properly, routed to improper adjusters, etc.), lack of inbound data quality (e.g., claims submitted with missing information, etc.), subpar claims adjuster training and high turnover among adjusters.
Download a Sample Claim Settlement Cycle Time (P&C)
Frequently Asked Questions
Q: How do you collect and validate your data?
A: From real-world consulting engagements with Fortune 500 leaders. We’ve spent 25 years conducting original research and anonymizing data from our engagements with top companies around the world. Every single data point we collect is scrutinized by our analysts to conform to established baselines and our rigorous in-house validation process. We won’t serve it up to you unless it meets our tough standards for utility and value.
Q: How much information will my Benchmarking Report contain?
A: Enough to produce a useful benchmark. And rest assured that it’s all current, validated, and useful. We only include data that’s been collected in the last five years. And while sample sizes vary by KPI, the average is 25, and the high end can surpass 1,000.
Q: How often do you update your reports?
A: Every year. We’re constantly gathering, scouring, and processing new data. We update our reports based on trends our analysts detect in the data, as well as the demand from our consulting clients and customers like you.
Q: Your download-able reports look great. But I need something custom. Can you help?
A: Heck yes. Our crack research teams just love custom assignments, and would be delighted to perform targeted research tailored to your specific requirements. Find out just how fast and affordable this is: Email us (firstname.lastname@example.org) or call us at 866.650.2888 and one of our friendly professionals will be happy to answer all your questions.