In his new book, “Average is Over,” Tyler Cowan maintains that America is dividing itself into two main groups.

The top will be 10 to 15 percent of achievers, whose self motivation and mastery of technology will allow them to soar into the future. Then there will be, well, everyone else.

Might the vocation and profession of claims likewise stratify itself, with tech-savvy winners and more bumbling losers, where the keys to success exist largely in technological fluency and literacy? To address that issue, we pondered the question of what basic technology skills are essential for today's claims professional. Does it involve knowledge of MS Office? How about using spreadsheets or conducting fruitful internet searches? Or, any of these really necessary, so long as an adjuster possesses good claims-handling subject-matter knowledge and skills?

Valued Low-Tech Skills?

Many still see low-tech skills as primary. Denis Smith, a VP and executive adjuster at Cunningham Lindsey (Vancouver B.C.) feels that a strong insurance knowledge of policy language, principles and practices is essential. The rest are practical tools to help commute the process to a result. He cautions that, “without understanding doctrines of proximate cause, proper policy interpretation/application plus strong people and communication skills, you just don't get there.”

Michael Spence, a claims training specialist in the Buffalo, New York area believes that requisites include the ability to search the Internet on an advanced level, 40 words-per-minute typing skills and Microsoft Office proficiency: “Too few companies provide real Microsoft word training, ” he says. ”So adjusters waste countless hours by knowing only a small portion of what this tool can do.”

Each company has its own preferred tech-skills that it wants its workforce to possess. Alexis Neel, an independent adjuster in the Atlanta, Georgia area, wants to know more than whatever the carrier requires him to know, in order to be that much more valuable in today's market. Neel regards the “must haves” in claims adjusting as MS Office Suite, mainly Word, Outlook, Excel and maybe PowerPoint, then Xactimate, and two other estimating programs (Symbility and Simsol), along with intelligent internet search skills.

Techno Navel Gazing?

Are there limits, however, to just how tech savvy adjuster should be? At some point, does technological navel-gazing obstruct the fundamentals of sound claims handling? Christopher Reid is an independent claims consultant in the Houston area and former VP of Claims at Brit Global Specialty USA. Reid believes line adjusters should not be creating Access databases or preparing PowerPoint slides.

“They should have Word and Outlook skills, and probably some Excel skills,” he says. “Beyond that, they should be able to learn and use whatever claim-handling system and/or estimating software that their employer uses, and be able to conduct Internet searches.”

Reid, however, does not equate technology proficiency to adjusting proficiency: “I can go to any middle school and find someone more technology proficient than I am,” he adds.

Barry Zalma, a veteran claims expert, attorney and contributor to PropertyCasualty360, urges the industry not to under-value low-tech attributes. ”Technologically,” he says, “the adjuster should be able to type using all ten fingers, understand and use effectively the insurer's computerized log system; understand how to estimate—using computer programs—the cost to repair buildings and vehicles; and most importantly how to read and interpret an insurance policy.” If adjusters have claims-handling skills, Zalma adds, the only technology they need is a pencil, paper and a telephone and the ability to operate a vehicle to get the adjuster to the scene of the loss.

Necessary “Soft” Skills

Meanwhile, Jennifer Peranteau, vice president with Wardlaw Claim Service, sees soft skills as critical for industry success. “You must be able to relate to people to succeed in claims, whether you are a fresh trainee learning the adjusting ropes or are the vice president of claims,” she says.

Peranteau sees estimating software with ads boasting that “anyone” can be an adjuster. “I have not found this to be true,” she counters. “You must have great people skills, be able to think on your feet, and be willing to get dirty.” Adjusters must also possess certain technical skills (including a solid grasp of math and science), software skills, and the ability to realize when a price does not make sense and thus requires further probing. “They call it 'adjusting' for a reason,” Peranteau adds.

Mark Smith, vice president and Claims Manager at Frye Claims in the San Francisco, California area, is a fan of technical skills, as well. However, he cautions that, as an industry, we “must acknowledge that basic technology is now so prevalent that it has become essential.” An adjuster who can't do a simple spreadsheet or internet search is simply creating more work for someone else, who will have to do it for them. “We pay for the training for some of our experienced field staff because clients expect to get their data and reports electronically these days and we are in the business of meeting their expectations,” Smith says.

Quick Studies Needed

None of this suggests that the claims professional must possess all of these skill areas simultaneously. It would be quite difficult— if not impossible—to find a claims person fluent in every single one of these technologies. However, it would also be challenging to place a claims professional lacking familiarity with any of them. To an extent, the issue is one of adaptability, the ability to learn quickly. Can a claims professional become a quick study to rapidly get up to speed on the software, applications, and tech tools used by his or her organization?

Given the brisk turnover within the claims industry, adjusters and other claims professionals must realize that each company has its own preferences about software, applications, and hardware. For example, some companies may use Microsoft Outlook as the default e-mail manager. Others may use Lotus Notes. Some organizations may be tethered to BlackBerry. Increasingly, however, more are inclined to use iPhones or Android devices. Some may use proprietary, bespoke databases as their claims management information systems. Others may use off-the-shelf software, with some tweaks.

Whatever software, applications or hardware insurers or claim organizations use, today's successful claims adjuster needs to possess the flexibility, adaptability and willingness to gain proficiency in the tools at hand to get the job done. To an extent, this quality may be more important than subject matter expertise on any piece of software or hardware.

Clearly, today's adjusters cannot be Luddites. They must have a comfort level with both software and hardware to effectively function in their jobs. This does not mean that machines are ready to replace claims adjusters, although perhaps some CFO's and “bean counters” might fantasize about such possibilities. Until they invent an app that replaces living, breathing claim adjusters, the successful claim practitioners will blend high-tech fluency with high-touch soft skills. In 2013 and beyond, that is likely to be the winning combination.

Special Reports /

Essential Tech Skills for Today's Claims Adjuster

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