Reporting

The insurance and claims industry have always understood and appreciated the nexus between timely reporting of claim activity and adverse loss development. As relative newcomers to the claim handling process, many of today's commercial clients have not been privy to the wealth of data that supports the fact that the longer a claim goes non-reported, the more expensive it becomes. This is not conjecture, simply a fact. Therefore, it is incumbent on anyone that is considering the use of a TPA that the TPA has the ability to respond 24/7 to losses as they occur. The TPA must have the 24-hour ability to preserve facts and critical physical evidence, identify witnesses and secure statements prior to compromise by outside influences. Bottom line, the quicker you can respond to your losses, the less your final loss costs will be. Remember that control over the severity of your losses typically translates to lower annual premiums.