Property & casualty and health insurers overpay injuredpeople an estimated $15 billion a year because each sector of theindustry lacks information about claimants that only the other sidehas, according to Stephen Ambrose, CEO of ICEX, an insuranceinformation-services company.

To plug that gap, ICEX has developed ClaimCatcher, across-claims data exchange designed to reduce overpayments formedical and injury claims.

"For the first time, P/C insurers will be able to tap into aninjured claimant's medical claims history from health insurers toverify preexisting injuries related to the current claim," saysAmbrose.

Separately, health insurers will be able to find out when theirmembers have filed injury claims with p&c insurers. The healthinsurer can then subrogate against the member.

ClaimCatcher complies with HIPAA and NAIC model regulations andthe most stringent state insurance laws on privacy, claims anddata, according to Ambrose. The technology will be used by p&ccarriers, health insurers, Medicaid, self-insured employers, andworkers' compensation carriers.

Between 0.5 percent and 1.0 percent of all paid medical claimsresult in subrogation recoveries, according to CIGNA. Relying onpredictive analytics and form letters, Medicaid and commercialhealth plans recover less than $2 billion annually, perhaps only 25percent of what's available, Ambrose explains.

Because ClaimCatcher doesn't rely on claimants to personallyvalidate their involvement in a claim, widespread adoption of thetechnology could eventually boost recoveries to nearly $9 billion,Ambrose reports.

Almost 39 million injury claims are filed annually and payoutsfrom all p&c insurers total nearly $180 billion a year,according to A.M. Best. Using ClaimCatcher's process, p&cinsurers can request and match up prior medical claims related tothe claimant's current injuries. Ambrose believes betteridentification of preexisting conditions can save P/C insurers $7billion and slash overall claims costs by nearly 4.0 percent.

"Overpaying claims is unfair. It costs insurers, employers,taxpayers and insureds a fortune. Providing a new level oftransparency will make claims management far more accurate andfair," says Ambrose.

ClaimCatcher is expected to become available during the secondquarter of 2013. ICEX is currently looking for a strategic partnerto help deliver its proprietary technology to the insuranceindustry.