Detailed Audit Subrogation: As one of the nation’s top ten writers of personal lines of insurance, including a portfolio consisting of commercial lines and workers’ compensation lines as well, our client was looking for ways to ensure their subrogation process was best in class. Their business model included internal management of their subrogation activities at the local branch office level. Upon analysis of their operations, the client agreed to let Equian participate in a pilot program they had already begun with another subrogation vendor. The program was developed to provide a detailed audit of files where subrogation opportunities were not identified by their internal process. The client used the previous two years of claims files as a starting point to see if any opportunities were missed. Equian was given data from several states where this client has locations to begin the process.
Consultative Approach to Solution: At the conclusion of the pilot program, Equian’s efforts produced an additional $2 million in recoveries from previously untapped files. We provided the client with a thorough analysis using key indicators and comparing them to best in class industry performance. As a result of the business case proven through comprehensive reporting, the client gained the approval necessary to formally outsource their subrogation operations to Equian.
As a way to customize a solution for our client, we appointed a dedicated account executive and client solutions team to work side by side with them on a daily basis. We built a unique install process where we sent a “traveling install team” to each branch to screen their open claims for subrogation potential through an electronic file set up and image sweep. Once we had screened all open claims and trained their adjusters, we armed each branch with the tools they needed to begin referring files directly to Equian operations. These referrals act as a supplement to Equian’s proactive subrogation identification process which is maintained by a daily electronic data feed received from the client.
Benchmarking Accompanies Results: Equian has worked to ensure all of their branches are fully equipped with the processes needed to be stream-lined and effective. With strong benchmarking and analysis of the client’s past and current recovery efforts, we are able to show that their total recoveries increased 28% within four years.