1. Education in claims and importance of claims experience in overall insurance bussines October 2015 Madalin Rosu

2. 2 Claims = Insurance = Complexity In order to improve customer service, insurers must progress from a transaction focus to an interaction focus Traditional ObjectivesModern Objectives Reasonable response timeRapid response time EfficiencyEfficiency plus Accuracy Compliance Communication options Flexibility Subject matter expert intervention Best subject matter expert Analytics claims Claims inquiry Beneficiary change Investment redirection Cash value withdrawal Billing inquiry Proof of insurance for motgage New car cover request Premium payment Transactions

3. The claims handling process is the “moment of truth” Claims handling is the central criteria that clients use to judge an insurer. Services of the insurer that are perceived by the client to be adding value are vital. Claims handling offers a considerable potential to reduce costs. Claims handling is a source for new business. Claims handling importance 3

4. A well trained person will be able to deliver the promise to our client. Training need to be in line with each employee. Education Education need to be forma- lized and recognized at a high level proving higher standards. Recognition of knowledge In these days where the competition and market conditions become tougher and tougher we need to concentrate on the client needs more than ever. For this we all need to focus on : Education in claims 4

5. A certified claim person, based on European standards can easily access a job in any EU country. Join education standards assure high level quality in the financial industry and EFICERT jointly paves the way Education in claims is not anymore a issue of particular insurer or a market Education in claims area is very important and there is existing a specific attention at European level A proper trained claims inspector will deliver the proper service to the client 5

6. Romanian practice 6 C1.1M MTPL C1.1M MTPL Claims specialization structure C1.2M Motor Hull C1.2M Motor Hull C1.3M Internal Regulation C1.3M Internal Regulation C1.4M EU Directives C1.4M EU Directives C1.5M Fraud C1.5M Fraud C2.1NM Legislation C2.1NM Legislation C2.2NM Property C2.2NM Property C2.3NM Financial C2.3NM Financial C1M Motor C2NM Non Motor C2.2NM Life&Travel C2.2NM Life&Travel 20 H EXAM 20 H EXAM CERTIFICATION 6

7. Claims handling is a core process ! 7

8. 8 ET B motions houghts ehaviour Client is not different than us

9. Why so important? 1. A high price does not cause a customer to leave, but a negative experience in contact with company employees, YES – Accenture global satisfaction report 2. For every complaint there are 26 other customers with the same problem which not complained – Lee Resource 3. 2% increase in customer retention means as much as 10% cost reduction – Leading on the Edge of Chaos, Emmet Murphy & Mark Murphy 4. 96% of unhappy customers never complains, but 91% of them will simply leave and not coming back – 1Financial Training services 9

10. 6. A dissatisfied customer will tell 9-15 people about his experience. Around 13% of unhappy customers will tell on other 20 people to about this. – White House Office of Consumer Affairs 7 It takes 12 positive experiences to repair a negative experience – “Understanding Customers” by Ruby Newell-Legner 8. A customer treated professionally and whose issue is resolved, it becomes a brand advocate for the company 5 Over 70% of consumers recounted experiences relate to the way they were treated – McKinsey Why so important? 10

11. 11 Simple and basic expectations Common claims service expectations Added value normal and reasonable reimbursement Fast and not bureaucratic handling Individual support Personal contact Problem solutions and services which positively surprise the client Motivation to buy Full Customer Satisfaction Claims experience leading to customer satisfaction

12. Claims Management is an optimal way to generate Customer Value However, this opportunity is rarely used in the insurance world. Generally, there is little emotional connection with the insurer that results in a conviction that the customer has found the best solution. Therefore, customer orientation offers numerous opportunities to increase customer value. Customer Orientation 12

13. 13 Education is not important ! Education is extremely important !