Your claims dashboard is your control center for managing claims effectively.
A well-executed claims dashboard shows you everything you need to assess the health of your claims operation at a glance. You can find answers and visualize KPIs in real time. And graphics make complex information instantly understandable.
Why a Claims Dashboard is Important
A gold mine of data is collected on each and every claim. But numbers alone are just numbers. You have to be able figure out what the numbers mean – and put that knowledge to good use.
A good claims dashboard keeps everything important right at your fingertips. Start by clarifying exactly what is important to you and to your organization. Claims management software can help you identify and track:
- Performance levels. Important indicators such as lag time, litigation rates, average claim duration, severity, closing ratio, aged-claim counts can determine how well your claims program is performing.
- Priorities. With an estimated 20% of conditions driving 80% of claims costs, data can help determine which claims are in that critical 20% to focus on first for maximum impact.
- Complex claims. Data analytics can forecast how severe the loss will be for each claim and flag costly and complex cases for early intervention. Complicated claims can be assigned to the most experienced adjusters and routine claims to less experienced adjusters – or even processed automatically – for the best use of resources.
- Fraud. Data analytics can calculate the degree of fraud potential and identify early-warning signs so those claims can be quickly referred to an investigator and/or medical evaluator.
- Litigation potential. Data analytics can use location, attorney involvement, and other criteria to determine which claims are likely to litigate so defense attorneys can immediately start building a case.
- Medical management. Data analytics can help you look beyond the reported injury to identify which claims need further investigation – by an independent medical evaluation, nurse case manager, pharmacy review, or other healthcare professional – to determine if treatment is appropriate and if other things can be done to improve the claim outcome.
What Metrics Matter Most
Each of these areas can be represented by a variety of metrics. What information do you need to make sure claims are being handled efficiently? Keep your claims dashboard focused on the six to eight metrics you need to do your job effectively. Any more than that will make your dashboard cluttered and hard to read – which defeats the whole purpose.
Key Performance Indicators can be tracked on a daily, weekly, or monthly basis. Commonly tracked KPIs include:
- New losses (which can be subdivided by incidents, claims, suits, and lines of coverage)
- Severity (average incurred per claim, top 10 large losses by location or cause)
- Closed claims (closing-ratio percentage)
- Average claim duration
- Average cost per claim
How to Organize Your Claims Dashboard
Once you have zeroed-in on the right metrics, turn your attention to how the information is organized. A good dashboard:
- Acts as the nerve center of your claims operation. Critical information is all in one place and well organized for quick answers.
- Tells a clear story. Graphics are more than just eye candy. They put context around the data and convey specific facts in a more effective way than numbers in a table can.
- Follows the 5-second rule. You should be able to find what you’re looking for in 5 seconds or less. Put the most significant metrics at the top of the screen and more detailed information at the bottom for the most intuitive layout.
- Cuts the clutter. Include everything you need – and nothing that you don’t. Use your space wisely, and group data logically.
A revved-up claims dashboard puts you in the driver’s seat. With up-to-the-minute metrics at hand, you’ll zoom forward toward optimized operations, enhanced customer service, reduced fraud, and lowered expenses.