Insurers can take advantage of “process mining” to improve claims handling and uncover claims leakage, bottlenecks and inefficiencies by using artificial intelligence (AI) to gather millions of data points from existing systems, US software company Appian says.

Appian Regional VP APAC Luke Thomas says claims leakage—the difference between what should be spent on claims and what is actually spent— represents at least 2-4% of insurers’ claim costs, with poor claims management and handling leading to noticed leakage as high as 20-30%.

“Harnessing agile technologies is one way insurers can manage the claims process more efficiently,” he said, adding insurers face integrating legacy and modern systems and databases.

“Although insurance companies currently have access to more information than ever before, it can be difficult for them to unlock the potential of their data because it is often siloed or stored in disconnected, disparate systems,” Mr Thomas said.

“Technology like low-code can unify existing systems and create a ‘single source of truth’ without data migration.”

Low-code software like Appian’s allows insurers to build applications 17 times faster and halve development costs, it says, and provides a quick and inexpensive way for insurers to break down silos, unify legacy systems and capture and manage each claim when reported.

First notice of loss can be expedited through intelligent document processing, AI and machine learning - producing a streamlined, omnichannel process for internal staff, agents, brokers and customers.

"The ability to build apps and deploy them anywhere reduces paperwork, allows for real-time intelligent scheduling, increases collaboration, and facilitates secure data sharing,” Virginia-based Appian said.

A unified low-code platform settles claims faster through process mining and workflow automation, and insurers can rapidly update processes and integrate data sources to help manage threats like natural disasters and cyberattacks.

The latest version of the Appian Low-Code Platform features enhancements related to process mining, workflow and automation.