2015 ICTA Nomination. Technology by Guidewire Software.
In 2013, ICBC embarked on a business transformation initiative. One of the primary drivers of ICBC’s transformation initiative was to implement technology and process solutions that improved the experience of customers, partners and employees, and reduced the number of low-value manual tasks to be completed. As part of this transformation, ICBC initiated a phased implementation of Guidewire ClaimCenter starting in November 2013, and wrapping up in May 2014.
One of the configurations ICBC developed with assistance from Guidewire ClaimCenter was what ICBC calls Straight Through Invoice Processing. ICBC leveraged integration with SAP to create a configuration that allowed select business partners to submit final vehicle repair invoices for payment online. Invoices are assessed based on business rules created to manage risk to ICBC and if all criteria are met, the invoices are automatically approved and paid during the next payment cycle. If invoices do not meet the criteria set out, they are rejected for Straight Through payment and an activity is triggered to have the claim owner or an estimator review the invoice, approve it or reject it, and work with the partner to remedy any errors.
This functionality enabled by Guidewire ClaimCenter was expected to result in the elimination of payment review/approval and keying for approximately 40 percent of all repair invoices received by ICBC, or almost 7,000 invoices per month. Additionally, the flexibility to configure the business rules would allow ICBC to grow the volumes of MD payments processed with no intervention from ICBC if the risk associated with doing so is deemed acceptable. Further, the configuration could be extended to other invoice types with minimal additional configuration.
Additionally, ICBC was able to do the following with the implementation of Guidewire ClaimCenter:
- Liability splitting: Automatic splitting of financials across claims based on claim liability percentage, which is innovative from a configuration standpoint and solving an important business issue.
- Multiple policies on a claim and the configuration of a claim event: Can now process improvements to have easy access to all claims associated to a specific event; work with Guidewire Software Product Management in configuring a solution for future product direction.
- Medical calendar: A new configured solution for ICBC, the medical calendar is a visual calendar with indicators identifying when treatments were conducted for an injured party. Calendar enables adjusters to see patterns in treatment and frequency, showing a correlation between high numbers of visits and litigation initialization. The calendar allows ICBC to be more proactive in identifying possible future litigation and more aggressively go after settlements to help reduce litigation costs.
Exceeded expected number of repair invoices processed with no intervention from ICBC at 41.3%. Allows employees to focus on activities that add value to the claims process.
Implementation is also a step toward B2B integration for multiple business partners, and a demonstration of ICBC’s commitment to driving efficiency and service improvements. Employees no longer must complete manual data entry to pay partners. They can focus on reviewing invoices that represent larger risk. Partners don’t need to correspond with ICBC using traditional mail, and can instead submit invoices instantly.
The Insurance Corporation of British Columbia (ICBC) is a provincial Crown corporation that provides universal auto insurance (Autoplan) to B.C. motorists. ICBC works with a distributed network of over 900 licensed independent Autoplan brokers, providing them with the necessary tools and resources to help customers choose the right insurance protection for them and their vehicles. For more information, visit www.icbc.com.
SOURCE: Insurance Corporation of British Columbia (ICBC)