The assessment of business interruption losses and insurance claims has traditionally been a time-consuming and labor-intensive process. However, the advent of artificial intelligence (AI) has revolutionized the way we handle financial data. By harnessing AI’s capabilities, we can now swiftly convert raw, unstructured data into a usable format. This blog explores the benefits of leveraging AI in financial data processing, highlighting how it enhances efficiency and expedites the lifecycle of insurance claims. Efficiency Through Instant Data Conversion The assessment of business interruption l ..read more

By Grant Mizel, with Danielle Gardiner This year’s Hurricane season was not quite as active as anticipated by the scientific community in terms of storm volume. But it did bring Hurricane Ian, which – from the perspective of both insured and uninsured damages – is shaping up to be one of the costliest hurricanes in reported history. And while no hurricane is ever convenient, Ian has proven especially challenging because it arrived on the heels of a number of serious macroeconomic issues. In the coming months, resolving Ian-related business interruption and extra expense claims will require pa ..read more

By Danielle M. Gardiner, CPA, CFF, and Joseph Lazzarotti, Contributor: Shiraz Saeed A ransomware demand is enough to give any company executive heartburn as the decision of whether or not to pay the ransom is considered. Part 1 of this two-part series highlighted three factors to consider as part of the decision to pay: what has been compromised, what will the downtime cost the company and was personally identifiable information affected? However, there are several other issues to consider before making a final determination on whether or not to pay a ransom. Are there other regulatory impact ..read more

By Danielle M. Gardiner, CPA, CFF, and Joseph Lazzarotti, Contributor: Shiraz Saeed Ransomware is among the most offensive and damaging types of cyberattacks an organization can experience. The bad actors behind these attacks use malware to access systems and encrypt the data it encounters, crippling organizations and putting personal customer data at risk. Adding insult to injury, the attackers demand payment of a ransom before they will release the data back into the hands of the organization. According to a recent Trend Micro report, 84% of U.S. organizations experienced either phishing or ..read more

By David Gardiner, CPA Original Publish Date: January/February 2022, Claims Magazine Where have all the workers gone? According to the Bureau of Labor Statistics, the unemployment rate in October was just 1.1 % higher than it was before the pandemic, at 4.6%. Still, the supply of workers remains shockingly low. The Conference Board calls today’s labor shortage unprecedented and says, “If left unchecked it could easily develop into one of the worst labor shortages of the last 50 years.” Even as the reopening of schools and businesses, initially delayed by the Delta variant of the coronavirus ..read more

By Danielle M. Gardiner, CPA, CFF, and Joseph Lazzarotti Contributor: Shiraz Saeed Original Publish Date: November/December 2021, Claims Magazine  When it comes to cybersecurity risks, the insurance industry really can’t escape the feeling. “There isn’t a class of business that can hide from this,” explains Shiraz Saeed, vice president and cyber risk product leader at Arch Insurance Group. Cybersecurity incidents, such as data breaches or ransomware attacks, are becoming so frequent that it can feel unbearable for insurers “Managing cyber risk is complicated. Trying to figure out the lik ..read more

By Henry Dicker and Vincent M. Walden Original Publish Date: September/October 2021, Claims Magazine People have been trying to defraud insurance companies, almost as long as the concept of insurance was invented. Ensuring proper controls and anti-fraud monitoring inside the walls of today’s insurance company is nothing new. However, what is new is how technology is emerging to play a key role in the prevention and detection of potentially improper payments or rogue employee behavior. In most organizations, analytics are becoming ubiquitous. The risk, legal and compliance functions, which tra ..read more

By John Palmeri, Danielle Gardiner and Carlos Rivera Original Publish Date: July/August 2021, Claims Magazine Experiencing a deluge of cyber breach incidents and claims, the insurance industry has responded in earnest by upping its cyber liability product offerings. But with the market still in its relative infancy, is there clarity around coverages and expectations? Cyber risk is real. But the risks faced by each organization can be quite nuanced. Carriers are racing to keep up with evolving risks while at the same time attempting to create insurance products that are both helpful and profit ..read more

By David Gardiner and Grant Mizel Original Publish Date: May/June 2021, Claims Magazine Though insurers, brokers, managing agents, and all others who play a part in insurance have different roles and objectives, the push towards a digitally connected world has led to a common focus on technology throughout the industry. The resulting category of InsurTech has irrevocably changed the way the industry operates, especially in the world of claims. Look no further than Lloyd’s of London for evidence of this fact. Once a pinnacle of tradition, Lloyd’s is now a central player in the transition of in ..read more

By Marc Johnson and Marisa Miller Original Publish Date: March/April 2021, Claims Magazine In 2015, 15,000 residents in the southern California community of Porter Ranch were evacuated from their homes for several months due to a significant gas leak at a nearby facility. The environmental disaster —- the worst natural gas leak in United States history — was found to have been caused by a leak sprung from an underground reservoir operated and maintained by Southern California Gas (SoCalGas). The small California town of Paradise was consumed by the Camp Fire in 2018. Electrical lines belongin ..read more