Insurance claim processing is a business function that an insurance company uses to handle and evaluate claim documents made by their policyholders. The procedure usually includes document verification and validation which can be a complex and time-consuming process and can have a significant impact on the customer experience. The process takes a long turnaround time due to the manual & paper-based methods used by businesses to process and verify insurance claims. A study found that manual claims processing takes up to 14 days while automated claims processing can take up just a few hours.
As for many industries, automation can be a lifesaver for the insurance industry. It is feasible to automate your claim processing using technologies like Optical Character Recognition (OCR) and Artificial Intelligence (AI), to streamline the claims processing procedure and improve the accuracy of claims.
Studies have found that manual claims processing takes up to 14 days while automated claims processing can take up just a few hours.
How Does OCR Transform the Insurance Claim Process?
OCR is a technology that enables the conversion of scanned images, documents, or other sources into digital data. It helps transform the insurance claim process by automating data extraction from insurance claims documents, such as policyholder information, medical record, accident reports, and more. This automated process eliminates the need for manual data entry allowing faster and more accurate processing.
Insurers can reduce claims processing times, improve data accuracy, and reduce operational costs by streamlining the data extraction process. As per reports, insurers can save costs up to 60% by automating claim processing with OCR technology.
Benefits of Using OCR to Automate Insurance Claims
Utilising OCR and AI together for claims processing has many advantages. The productivity of your business may be impacted by these advantages, which will also have an effect on your bottom line.
Faster Claims Processing
Claims processing times are reduced, enhancing satisfaction. A survey found 66% of customers willing to switch insurers for faster processing.
Improved Data Accuracy
Reducing manual errors ensures claims are processed accurately, guaranteeing customers receive the correct payouts.
Enhanced Customer Experience
Automating claims improves speed and convenience, boosting customer satisfaction by up to 30%.
Improved Compliance
Helps insurers to meet regulatory requirements by ensuring that all necessary data is captured and recorded.
Better Data Analytics
Digitizing claims documents provides insights into trends and patterns, empowering data-driven decisions.
Competetive Advantage
OCR automation gives insurers a competitive edge with faster processing, boosting customer loyalty and retention.
Automate Your Claim Processing with Bautomate
Bautomate is an AI-powered automation solution that enables insurance firms to automate document-related workflows with OCR technology. Our solution can be used to automate data extraction, which eliminates all manual data entry tasks in your claims processing workflow.
With Bautomate, you can mitigate fraud risk, speed up turnaround time, and lower the cost of processing claims.