Some aspects of claims are easy to overlook in the rush toservice insureds. When a major catastrophe hits, it is frequentlyan “all hands on deck” situation. Some adjusters are seasonedprofessionals, veterans of multiple catastrophes. They understandthe delicate balance of managing an overwhelming workload whileserving the interests of all stakeholders in the process.

For adjusters who have never worked a major catastrophe or donea lot of flood claims, it can be an overwhelming experience.Imagine stepping into a wasteland where damage and destruction arevisible for miles in every direction.

Hurricanes Sandy and Katrina, as well as other major floodevents provided some important lessons for all involved in theadjusting and restoration process. Documentation will be criticalfor both policyholders and adjusters. What does the policy cover?What damage was sustained? What can be replaced and what can berestored? What training is necessary ahead of time? And how to weadjust claims efficiently and effectively? Here are five factors toconsider when adjusting catastrophe claims.

1. Maximize technology

“When disasters occur, both natural and man-made, we alwaysstress to our insurance customers the importance of having theright technology applications available to be able to perform theirjobs, regardless of the disaster,” says Jennifer Mangino, industrymanager for the insurance solutions group at Hyland. “Something weask insurers is, 'If a disaster occurs, will you and yourrepresentatives have the information necessary to provide superiorservice to your customers and claimants in their time of need? Willyou be able to access data and collect the information needed toprocess the claims in a timely and accurate manner?'

If the answer is no, it's time to reevaluate your currenttechnology strategy to embrace the tools needed to become moreefficient and deliver better service. Often this means embracingmobile and cloud applications, such as enterprise contentmanagement (ECM), to pull all relevant documentation and dataneeded while adjusters are in the field. More of these solutionsare including off-line capabilities so that adjusters can pull thedocuments they need and fill them out while in the field. Then, assoon as they can establish an internet connection, the system willsync with their claims system at the home office with the updatedand accurate information. This creates a nimble environment for theinsurer to process claims faster, giving their customers moretimely payments on their claims.”

2. Understand the estimating programs

At the recent Xactware Users Conference in Salt Lake City, Utah,the company's CEO, Mike Fulton, highlighted some of the changes thecompany is introducing as part of its latest Xactimate rollout. Inorder to make the program more accessible in the field, the companyis introducing a version that will work on tablets and other mobiledevices, and load faster than any of the previous options.

“Adjusters have a huge impact on how satisfied the insured iswith the claims process and the insurer,” said Fulton, “andXactware is working to improve the tools and information itprovides to endusers.”

Understanding how to use the estimating software and whatinformation is needed to provide a complete estimate is crucial tocreating accurate claims that can be closed quickly and fairly forall involved.

(Photo: iStock)

3. A picture is worth thousands of words

Attorneys frequently say that if something wasn't written down,it didn't happen. The same can be said of securing proof of damageor a loss with either photos or video. Digital cameras and evencell phones can capture crucial components of a loss. This isespecially critical since adjusters cover so many losses followinga CAT event and it's easy to forget what was observed.

“Photographs should be taken of all sides of the risk and thesurrounding area, as well as in every room,” recommends Jeff Major,chief operating officer and executive vice president of CanopyClaims Management. “Each room should have general photos of theroom, each showing at least two walls, and then from the other sideof the room,” he says.

“Additional photographs of each room should show the types offinishes and construction materials as well as damage, and contentsphotographs should be taken with special attention to unique andhigh- or low-value items. As many CAT adjusters only visit a riskonce, having a vast quantity of photographs can answer questionsduring estimate entry, inventory review and in addressing concernsor questions with insureds or file reviewers. Since claim filesubmissions usually contain a limited quantity of photographs, itis a good practice for adjusters to have and keep a flash or jumpdrive for each CAT that they work which contains excess photographsin individual files.”

Capturing photos of any undamaged areas can be just asimportant, especially if a questionable or seemingly unrelatedclaim is filed later.

Floor plans of the property will also help identify where damageand contents are located, and provide some context when theadjuster is creating the loss estimate.

4. Don't forget the small stuff

When walking a loss, it's easy to overlook some of the smallerthings like valves and hoses for gas lines; the wax ring, shut-offor supply line valves and toilet seat for a toilet; or the hingesand hardware for a door. Don't forget to include these types ofitems in the estimate. They may seem like small things, but theyare an important part of getting the insured back to a pre-losscondition.

Also consider things like how debris will be removed, the costsfor having a dumpster delivered and removed, and be aware of theimpact issues like curfews and local licensing ordinances can haveon costs and response times. Whatever is removed will probably haveto be replaced, so both aspects should be included as part of theestimate.

5. Play it safe

Adjusters are exposed to a lot of dangerous elements following aflood. Some are easy to see, but many are not. When it comes towater, Major says adjusters should not walk through fast ormoderate moving water, or water they can't see through. “Washedaway ground or holes under the surface are tripping hazards, andthe suction or pressure of small drains can pull someone undershallow water,” he cautions. “Water moving under parked cars orstructures can pull someone down and trap them under thewater.”

Adjusters should be aware of their surroundings when entering anarea – looters and other factors could pose a risk to theirpersonal safety. Individuals who have not worked a majorcatastrophe should know that a city's infrastructure could beseverely compromised by flooding, affecting everything fromservices like food, gasoline and hotels to washing away roads,signs and other identifying landmarks.

In addition, flood waters can uproot wildlife from their naturalhabits, posing a risk from snakes and other venomous creatures.After Hurricane Katrina, dozens of snakes had to be removed fromthe Notorial Archives before workers could enter the premises toremove files and begin drying out the building.

“Have a buddy system,” recommends Jason Coleman, vice presidentof Virginia-based Jenkins Restorations. “Let another adjuster orcontractor know where you are going and when in case you run intoany trouble.”

Adjusters are there to serve an insurer's policyholders, butthat places them at great risk in some areas. Using common senseand taking practical precautions will help protect against a widevariety of dangers and ensure they are able to help insuredsrecover more quickly.