According to a recent survey conducted by professional servicesfirm, Towers Perrin, nine out of 10 property/casualty claimofficers say increased competition, consolidation, and convergenceare among the leading challenges currently facing theirindustry.

One of the highlights of the survey was the growing importanceof data analysis and technology as well as the recruitment andretention of notable talent. 62 claim officers from ranging sizesof commercial and personal lines carriers were surveyed in late2007

Towers Perrin reported that nearly two-thirds (65 percent) ofrespondents chose sophisticated analytics as an emerging issue,trumping the matter of escalating claim severity, which wasidentified by 50 percent of respondents. Mounting technology needsand reliance on software ranked as the number three emergingissue.

While expense and cost management stands out as a primary issuefor all carriers, secondary concerns tended to vary by size of thecompany.

“Claim leaders are looking for technical solutions to meet theirincreasingly complex business needs,” said Kathleen Cullen, claimmanagement practice leader at Towers Perrin, in a release. “It isclear that investment in people and broader-based skill developmentis critical for sustaining and improving claim-handlingfundamentals.”

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