A new survey of claims handlers by RDT reveals a striking gap between claims handlers’ support for automation and the sluggish pace of adoption of automation within the insurance industry. Despite clear support for technology’s potential, most handlers are still stuck with manual processes.
Nine in ten (92%) of claims handlers believe automation can help tackle the challenges in claims processing but only one in ten describe their operation as either ‘fully automated’ (2%) or ‘mostly automated’ (9%). The majority 62%) state that their systems are only ‘partially automated’, while 22% report minimal automation.
The survey data emphasises that the efficiency gains available for claims departments by automation are currently untapped. Respondents pointed to numerous manual tasks that could be streamlined by automation, highlighting opportunities for faster settlements and improved accuracy.
87% of claims handlers state they experience processing delays, of which 38% see delays frequently.
Two-thirds (66%) of respondents said that automation would most benefit data entry and document handling, two areas still commonly performed manually. Manual data entry was identified by nearly half of all respondents (46%) as the most significant challenge in their current claims handling process. This was closely followed by delays in document retrieval (38%) and lack of accurate data (28%). All of which automation would vastly improve.
Nearly three-quarters (74%) of claims handlers suggested automation would allow them to focus more on customer service and complex decision-making.
In practical terms, the survey suggests claims teams are ready and willing to work alongside intelligent systems but organisational hurdles like legacy systems and other factors are keeping automation at bay.
Joe O’Connor, Deputy CEO of RDT, said: “Claims teams are on board and clearly see how automation can transform their work, yet far too often they don’t have it at their fingertips. Most are still working in systems where manual data entry, clunky document handling, and slow turnaround times are the norm. That’s not a tech problem; it’s an adoption problem. The tools exist. Handlers need these tools to automate where it matters most, without overhauling everything overnight. At RDT, we’re focused on practical automation that integrates easily into current workflows and delivers instant impact. This will provide faster claims resolutions, better accuracy, and free up handlers to focus on taking care of customers.”
Should automation be adopted where it can achieve impact, it would mean that the repetitive work of claims handling is handled swiftly by machines, and skilled humans are empowered to deliver better service.
RDT’s cloud-native solutions, including its Claims Management Platform and their automation and orchestration engine, empower insurers with automated workflows, claims cost optimisation, data reporting, and seamless integration with third-party systems.
Additionally, RDT is expanding its AI capabilities for intelligent document processing, enabling faster, more accurate data extraction and significantly reducing the time spent on manual tasks. These technologies help streamline settlement processes, enhance operational agility, and support intelligent automation and auditable decision-making.
The onus is on the insurance industry to close the adoption gap. RDT’s innovations are geared towards making that leap achievable, ensuring the enthusiasm of claims handlers today converts into tangible improvements in claims performance tomorrow.
