Improving Claims Processing Efficiency through Warranty Management SoftwareMay 10, 2022
In the extended warranty business, you’ll have to deal with claims. Software is essential in processing these claims efficiently.
Customers who opt for a warranty or extended warranty have to file and settle their claims as quickly as possible. Customers want options for how they will initiate their claims. These options could be via phone, email, direct mail, or bringing their product to a pre-designated repair company. All claims must be filed with the necessary information included in their product package. The processing times can be negatively affected if the information is incomplete or inaccurate.
The most convenient and economical way for a customer to file a claim is through software. Claims processing software usually offers a portal to the claims department.
The first step in processing claims must include two aspects:
- The legitimacy of the claim.
- Whether or not the warranty or extended warranty terms have been satisfied.
The two factors mentioned above significantly impact the speed and outcome of the claim. If the information submitted is incorrect or missing entirely, the processor will have to verify the claim. Sometimes, this can take a little research.
Fraud is, unfortunately, a common problem. Validating the claim is essential. The model, serial number, and date of purchase can prove that the item is, in fact, one that is covered by the warranty. All of the information must add up.
After fraud has either been affirmed or ruled out, the next phase of validating the warranty commences. Several different factors need to be considered before a warranty claim is processed:
- Is the warranty active?
- Is the damage or dysfunction covered?
- What is the specified amount of time to process the claim?
- Does the warranty specify a repair or replacement?
- Is there a cap to repair or replace the product?
- Is this a claim that can be instantly or automatically settled, or will an investigation be needed?
It can be mutually beneficial to settle the claim and issue a payment immediately without an investigation. It saves a lot of time and hassle. There are certain situations in which this can be the best option. Such as:
- Low dollar claims.
- Frequent or recurring problems with a product.
- Claims that would cost a lot more than the product is worth.
- Claims where replacement shipment is the standard practice.
Policy Claim and Reporting Solutions administer all of the needed features to support your claim processes. These things can be handled with software that allows the users to automate the claims process. The lifecycle of all aftermarket products is supported and automated, allowing users fast and flexible solutions that are easy to navigate.
Need more information on software that can support all aftermarket services? Visit us to learn more!
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