Insurance claims management is being powered by drone technology resulting in faster and efficient claims processing.
FREMONT, CA: The insurance industry is keen on adopting drones due to the various benefits such as improved efficiency, safety, faster turnaround time, and reduced costs. With some serious operational challenges and transparency issues impacting the current insurance landscape, drones can play a critical role in the sector. Drones capability can propel swift, data-driven decisions in the industry, especially when it comes to insurance claims. According to a report, drone technology can help the insurance sector to save up to 6.8 billion USD annually. Focusing specifically on claims processing, drones can offset processing costs by up to 75 percent and significantly boost the process of damage assessment.
Drones can significantly aid the insurers with damage assessments in the properties, thereby contributing to an integral aspect of insurance claims processing. The technology is even more relevant for monitoring property damages as it eliminates the need of the owners to be at home during drone surveillance. Further insurance firms can assess damage faster and more efficiently as there is no need for the insurance personnel to visit the property for manual surveillance. Drones can enhance inspection efficiency by up to 85 percent.
When it comes to fraud detection in insurance, drones offer an additional capability for the insurers. According to a report, fraud comprises over 10 percent of processing and claims losses in insurance. For instance, in the case of agricultural insurances, drones can assess the precise yield as well as cultivable land. Further, a drone can collect data on 500 to 1,000 acres of land within a day, thereby offsetting the time required to settle claims. Similarly, drones can save considerable amounts of money in the automobile sector as well. For instance, drones can be used to perform random inspections of vehicles and other insurance risks, thereby saving time and resources.
Insurers understand the potential of drones in terms of efficiency as well as transparency in the claims processing and are increasingly adopting the technology for gaining a competitive edge.