High-Tech Van Speeds Claims Process

Operating under the colorful moniker, “Crashbusters,” PlymouthRock Assurance Corp. is touting its roving auto claim settlementservice as a way to use the latest technologies to provideefficiencies for itself, its agents, and its insureds.

Plymouth Rock equips the vans of its field appraisers withlaptops, cell phones, digital cameras, and computer dockingstations to speed-up the processing and payment of auto accidentclaims, said Frank Arment, vice president of claims, and MarkSweeney, vice president of marketing for the Boston-basedcarrier.

Once it receives a claim, Plymouth can send one of its colorfulCrashbusters Claim Services vans to the insured's driveway, officeor wherever the damaged vehicle is located, Mr. Arment said.

Plymouth launched Crashbusters in 1990, but it was only recentlythat it provided the Internet-based link for its field appraisers,who no longer have to mail or fax completed appraisals andphotographs to the claims office, Mr. Arment reported.

Plymouth policyholders have several options when it comes toreporting a loss, Mr. Arment noted. However, “we think we offermuch better claim service if [policyholders] call us directly,” byway of a 24-hour, seven-day-a-week Crashbusters toll-freenumber.

He said that the claims process is expedited because Plymouth'semployees electronically capture more detailed and accurateinformation from the insured than an agent typically receives in atelephone call.

At the same time, Plymouth recognizes that many of its agentsbelieve that their “major value” to customers is the “touch andfeel during the time of loss.” Therefore, a policyholder can stillfile a claim the old-fashioned way, through an agent, Mr. Armentsaid.

Plymouth also is mindful of obtaining an agent's permissionbefore sending literature to the agent's clients aboutCrashbusters, Mr. Sweeney added.

Plymouth employs the Mitchell e-claims automated appraisalsystem, he noted. This is a Web-based program that enables theappraiser and the claims office to transmit data about avehicle–including digital photographs–back and forth, Mr. Armentexplained.

An appraiser also can look up prices for auto parts and labor,Mr. Arment noted. Once the appraisal report is issued, theappraiser generally can issue a check to the insured on the spot,he said.

The main exception is when a car is totaled, which calls intoplay state insurance regulations requiring the insurer to obtaindocumentation, such as title to the car. But although these typesof claims are handled in Plymouth's claim office, the paymentprocess is fast, Mr. Arment indicated.

Crashbusters is a deliberate effort by Plymouth to distinguishitself from other auto insurers in Massachusetts, the company said.As Mr. Sweeney explained, the state insurance commissioner sets therates for personal auto insurance. The insurance product offeredalso is indistinguishable because carriers are not allowed tocustomize the insurance contract, he said.

This leaves service as one of the few ways that a carrier canset itself apart from others, Mr. Sweeney indicated.

“We try to create what we call the 'wow' effect, andCrashbusters is a 'wow' effect for us many times over,” hestated.

He revealed that Plymouth spends some $40,000 for each van andits equipment. This includes a media disc reader for digitalimages, various dial-up systems and broadband, Mr. Arment stated.He added that Plymouth “absolutely” is seeing a return on itsinvestment, not only in terms of efficiencies, but also customerservice.

“The service that the customer van brings is really top of theline,” Mr. Arment stated, adding that because the van goes to thesite of the damaged car, the customer is not inconvenienced by theappraisal process.

He also indicated that Plymouth is seeing a steady increase eachmonth in the volume of reports made by way of the toll-free number.At present, approximately 60 percent of the reported losses areprocessed through Crashbusters, Mr. Arment noted.

Plymouth aims to dispatch a Crashbusters van within 24 hours ofthe filing of a claim, a goal currently achieved “close to 50percent of the time,” he said.

Mr. Arment reported that Plymouth has about 14 Crashbusters vansin service in Massachusetts, with plans to add more. He alsostressed that Crashbusters is part of a “long-range plan” thatincludes adding “enhancements” next year. “This is not a stagnantprogram,” he said.

Nor is Plymouth limiting Crashbusters Claim Services toMassachusetts. “We're expanding as we speak,” Mr. Arment indicated.For example, Palisades Safety & Insurance Association ofSummit, N.J., a sister company of Plymouth, has seven or eightCrashbusters vans in service, he revealed.

Reproduced from National Underwriter Property &Casualty/Risk & Benefits Management Edition, April 8, 2002.Copyright 2002 by The National Underwriter Company in the serialpublication. All rights reserved.Copyright in this article as anindependent work may be held by the author.