Latest news with #claims
Yahoo
18 hours ago
- Automotive
- Yahoo
Regulator finds ‘concerning' evidence of poor handling of insurance claims
Insurers have been told by the Financial Conduct Authority (FCA) to improve their claims handling, following 'concerning' evidence of poor practices in some cases. The regulator said that, while rising motor insurance premiums are largely driven by external cost pressures, shortcomings persist in how some insurers handle claims. FCA analysis indicated that increases in the cost of motor claims – due to higher prices for cars, parts, labour, energy and more complex cars and supply chains – have contributed to premium increases. The cost of hire vehicles, the number and cost of theft claims and uninsured drivers have also risen significantly. This confirms that increased costs outside of firms' control, rather than firm profit, were the biggest cause of recent premium rises in motor insurance. But the FCA did identify that referral fees from credit hire firms and claims management companies were associated with slower claims processing and increasing costs. Where it has seen poor practice from firms, the regulator said it is addressing it directly with them, including taking action against specific firms where necessary. The regulator said that 'concerning' evidence of poor claims handling practices included a lack of oversight of outsourced services, resulting in poor customer outcomes, delays in settling claims and high complaint volumes. It also found evidence of insufficient management information, resulting in failures to promptly identify and resolve claims handling issues. Cash settlements were also being used in some cases without sufficient consideration of whether they are most suitable, the regulator said. The FCA also highlighted high rejection rates for storm damage claims, saying only 32% of such claims made to a sample of firms in 2024 resulted in a payment. The regulator is also providing evidence for coordinated action from Government, industry, and other regulators, as part of the Government's motor taskforce, to help drive down the cost of motor premiums. This could help limit cost increases but it cannot prevent them, the FCA said. It has also published an interim update of an ongoing premium finance market study investigating whether consumers receive fair value when choosing to pay for insurance in monthly instalments. While premium finance allows customers to spread costs, making them affordable and providing flexibility, the regulator has found some firms earn much more money than it costs to provide the service. It will explore these concerns further in the next phase of the study. The FCA said it will seek to tackle any issues it finds first through the Consumer Duty, publishing a final report by the end of 2025. Sarah Pritchard, deputy chief executive of the FCA, said: 'Insurance provides peace of mind but people must be confident they can get a fair deal and be treated right when the worst happens. 'External cost pressures are primarily to blame for recent motor premium increases, not increased firm profits, but there is some more work to do on claims handling, particularly in home and travel. That's why we're stepping up – making sure claims are handled promptly and fairly and pushing for a coordinated effort to tackle the root causes of rising motor premiums. 'A well-functioning insurance market helps consumers navigate their financial lives and supports growth by building people's resilience to financial and personal shocks.' The FCA also said that evaluation of previous pricing reforms showed they are having the intended impact on the price gap between new and existing customers in both the motor and home markets. This means its reforms were effective in curbing 'price walking' where loyal customers were charged more at renewal, the regulator said.
The Independent
18 hours ago
- Automotive
- The Independent
Regulator finds ‘concerning' evidence of poor handling of insurance claims
Insurers have been told by the Financial Conduct Authority (FCA) to improve their claims handling, following 'concerning' evidence of poor practices in some cases. The regulator said that, while rising motor insurance premiums are largely driven by external cost pressures, shortcomings persist in how some insurers handle claims. FCA analysis indicated that increases in the cost of motor claims – due to higher prices for cars, parts, labour, energy and more complex cars and supply chains – have contributed to premium increases. The cost of hire vehicles, the number and cost of theft claims and uninsured drivers have also risen significantly. This confirms that increased costs outside of firms' control, rather than firm profit, were the biggest cause of recent premium rises in motor insurance. But the FCA did identify that referral fees from credit hire firms and claims management companies were associated with slower claims processing and increasing costs. Where it has seen poor practice from firms, the regulator said it is addressing it directly with them, including taking action against specific firms where necessary. The regulator said that 'concerning' evidence of poor claims handling practices included a lack of oversight of outsourced services, resulting in poor customer outcomes, delays in settling claims and high complaint volumes. It also found evidence of insufficient management information, resulting in failures to promptly identify and resolve claims handling issues. Cash settlements were also being used in some cases without sufficient consideration of whether they are most suitable, the regulator said. The FCA also highlighted high rejection rates for storm damage claims, saying only 32% of such claims made to a sample of firms in 2024 resulted in a payment. The regulator is also providing evidence for coordinated action from Government, industry, and other regulators, as part of the Government's motor taskforce, to help drive down the cost of motor premiums. This could help limit cost increases but it cannot prevent them, the FCA said. It has also published an interim update of an ongoing premium finance market study investigating whether consumers receive fair value when choosing to pay for insurance in monthly instalments. While premium finance allows customers to spread costs, making them affordable and providing flexibility, the regulator has found some firms earn much more money than it costs to provide the service. It will explore these concerns further in the next phase of the study. The FCA said it will seek to tackle any issues it finds first through the Consumer Duty, publishing a final report by the end of 2025. Sarah Pritchard, deputy chief executive of the FCA, said: ' Insurance provides peace of mind but people must be confident they can get a fair deal and be treated right when the worst happens. 'External cost pressures are primarily to blame for recent motor premium increases, not increased firm profits, but there is some more work to do on claims handling, particularly in home and travel. That's why we're stepping up – making sure claims are handled promptly and fairly and pushing for a coordinated effort to tackle the root causes of rising motor premiums. 'A well-functioning insurance market helps consumers navigate their financial lives and supports growth by building people's resilience to financial and personal shocks.' The FCA also said that evaluation of previous pricing reforms showed they are having the intended impact on the price gap between new and existing customers in both the motor and home markets. This means its reforms were effective in curbing 'price walking' where loyal customers were charged more at renewal, the regulator said.
Yahoo
a day ago
- Business
- Yahoo
WEX Introduces AI-Powered Claims Tool to Simplify FSA Reimbursements
New technology improves speed and efficiency of the claims reimbursement process, giving time back to both consumers and HR teams PORTLAND, Maine, July 21, 2025--(BUSINESS WIRE)--Today, WEX (NYSE: WEX) announced the launch of a new intelligent claims tool that helps people get reimbursed from their flexible spending accounts (FSAs) faster and more easily. For HR teams looking to make the FSA reimbursement process easier for their employees, this new AI-powered tool will take the guesswork out of submitting a claim by making sure documentation is complete, accurate, and easy to verify, right at the time of submission. Boasting more than 97% precision in determining the correct reimbursement amount for valid claims during the claims process, this tool will help cut down on busywork by automating key steps like checking receipts, pre-filling claim forms, and quickly approving eligible claims for reimbursement. This will reduce friction in the overall reimbursement process, helping to approve eligible claims in minutes, not days. "Today's health and benefits teams are doing more with less," said Jennifer Whitmire, senior vice president of product for health and benefits at WEX. "By building smarter tools that automate the most frustrating parts of the process, we're helping our partners offer a faster, more modern experience without adding extra burden to their teams." What this means in practice WEX's new AI-powered tool is making the claims experience faster, easier, and more reliable. By simplifying each step from verifying documents to processing reimbursements, WEX is helping people get their money back with less hassle and giving HR teams a smarter way to manage claims. These new capabilities include: Document verification that alerts consumers in real time if information is missing Smart form completion that pre-fills key fields to reduce manual errors Fast claim assessment that can approve eligible documents for claims reimbursement in minutes, not days This new claims tool tackles the most common reasons for denials, like missing documentation or ineligible expenses and gives users a more predictable, seamless experience from start to finish. Some of these additional benefits include: Faster payouts: Claims that used to take two business days can now process in under two minutes Greater accuracy: More than 97% precision in determining the correct reimbursement amount for valid claims during the claims process Less work for HR teams: Intelligent automation reduces busywork and manual review More confidence for employees: Real-time feedback helps ensure claims are complete and accurate the first time Built with security and scalability in mind This launch is part of WEX's broader investment in building smarter, more modern tools that scale with the needs of customers and partners. It's powered by a secure data infrastructure and guided by strong governance practices. It meets HIPAA standards and follows strict protocols to keep personal data protected. "We've made — and will continue to make — significant investments in data-driven and AI-powered innovation," added Whitmire. "We're building solutions the right way, focused on long-term value, not just speed. Our goal is to give people time back, reduce friction, and make the experience simpler at every step." According to the Bureau of Labor Statistics, 72% of state and local government workers and 47% of private-sector employees had access to FSAs in 2024. With usage growing year over year, WEX's new claims tool arrives at a critical time to support both employers and consumers ahead of open enrollment. WEX's AI-powered claims tool is available now for HR administrators, their brokers and consultants looking to enhance their FSA reimbursement process. To learn more about how WEX's AI-powered innovation in FSA claims reimbursement drives savings, boosts benefit engagement, and helps reduce administrative burden, visit About WEX WEX (NYSE: WEX) is the global commerce platform that simplifies the business of running a business. WEX has created a powerful ecosystem that offers seamlessly embedded, personalized solutions for its customers around the world. Through its rich data and specialized expertise in simplifying benefits, reimagining mobility and paying and getting paid, WEX aims to make it easy for companies to overcome complexity and reach their full potential. For more information, please visit Forward-Looking Statements This press release contains forward-looking statements including, but not limited to, statements regarding the expected benefits resulting from the Company's launch of its new AI claims benefit tool. Any statements in this press release that are not statements of historical facts are forward-looking statements. When used in this press release, the words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "project," "will," "positions," "confidence," and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such words. Forward-looking statements relate to our future plans, objectives, expectations, and intentions and are not historical facts and accordingly involve known and unknown risks and uncertainties and other factors that may cause the actual results or performance to be materially different from future results or performance expressed or implied by these forward-looking statements, including the ability of the Company and its customers to realize the expected benefits of its new AI benefits claims tool; as well as other risks and uncertainties identified in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2024, filed with the Securities and Exchange Commission on February 20, 2025, and Quarterly Report on Form 10-Q for the quarter ended March 31, 2025, filed with the Securities and Exchange Commission on May 1, 2025 and subsequent filings with the Securities and Exchange Commission. The forward-looking statements speak only as of the date of this press release and undue reliance should not be placed on these statements. The Company disclaims any obligation to update any forward-looking statements as a result of new information, future events, or otherwise. View source version on Contacts Investor Relations:Steve Elder, Media:Kelly Gibson, Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
WIRED
2 days ago
- Health
- WIRED
Who Controls Your Health? Test Your Knowledge of the MAHA Movement
Jul 21, 2025 6:00 AM US health officials, from RFK Jr. on down, have made some wild claims. See if you can name the person responsible for these quotes and factoids.
Malay Mail
7 days ago
- Business
- Malay Mail
MSIG Hong Kong's 2024 Claims Report announces multi-year growth in its claims settlement ratio and highlights award-winning claims processing innovation
94.5% claims settlement ratio was achieved amidst a difficult business environment Second consecutive year as a Top 3 Finalist in the category of "Outstanding Claims Management Award – General Insurance" – Hong Kong Insurance Awards 2024 Winner of "Claims Initiative of the Year" – InsuranceAsia News Awards for Excellence 2024 Claims processing times have been reduced from 3-5 days to as little as 15 minutes for eligible clinical and dental claims. for eligible clinical and dental claims. Almost 75% of Helper claims are now automated , saving claims specialists some 200+ working days annually. , saving claims specialists some 200+ working days annually. Simple claims do not require manual intervention anymore, increasing the focus on value-added services. MSIG Easy Lounge Service: Complimentary airport lounge access for travel insurance customers experiencing delays over 60 minutes, available at 1,600+ airports worldwide. Complimentary airport lounge access for travel insurance customers experiencing delays over 60 minutes, available at 1,600+ airports worldwide. Claims Status Enquiry Page: 24/7 online claims tracking for peace of mind. 24/7 online claims tracking for peace of mind. Day Case Endoscopy Programme: Cashless, convenient endoscopy arrangements for medical insurance customers. Cashless, convenient endoscopy arrangements for medical insurance customers. Door-to-door Luggage Repair Service: Free pickup and delivery for travel-damaged luggage. Free pickup and delivery for travel-damaged luggage. Overseas Medical Teleconsultation: Free telemedicine services for travel insurance customers travelling in Japan, Singapore, Thailand, Vietnam, and the Philippines. HONG KONG SAR - Media OutReach Newswire - 16 July 2025 - MSIG Insurance (Hong Kong) Limited ("MSIG") today published its sixth annual MSIG Claims Report which presents the total claims honoured in Hong Kong and Macau during the year as well as the insurer's latest initiatives. In 2024, MSIG'sThe insurer, while receiving just 9 complaints throughout the year (down from 13 in 2023 and 50 in 2020).2024 was also the, a significant milestone that reinforces why the insurer has grown as a trusted partner. Helper (99.17%) and Personal Accident (96.85%) followed as the next highest 2024, MSIG put even more emphasis on quick response and rapid claims processing. This led toand wide-ranging examples of how the insurer responds to incidents with fast, intuitive processes that help those affected to move forward., said:"Every year brings new challenges, and 2024 was no different. Our teams have worked exceptionally hard to ensure that our service to customers remains at the fore, because we know that every claim is personal. By making the claims process faster and easier, we aim to help each of our customers move forward with assurance that they will receive the financial compensation they are owed. Innovation is at the heart of this, and our teams should be proud of the industry recognition they have received for their efforts. I have every confidence that we will continue to go from strength to strength in providing sincere customer service backed by leading digital capabilities – all part of our commitment to supporting our customers at every phase of their lives."MSIG's focus on claims excellence has led to notable industry recognition in 2024, including:Following the launch of, a digital solution for claims assessment that streamlines verification of customers' claims history, policy validity and claims payment amounts, in the second half of 2023, the project has reported exceptional gains in efficiency. For Helper Insurance claims specifically:Building on this success, MSIG intends to further extend Zero Touch to cover its medical products in the 2024 and early 2025, MSIG introduced a suite of new services to support customers at every step:Also reflecting MSIG's overarching emphasis on extraordinary customer service and claims management was its inaugural "Serving with Heart, Putting You above All" branding campaign. Featuring videos of common insurance scenarios, the insurer partnered with Key Opinion Leaders to convey how a simple, intuitive claims experience can result in needed assurance during unexpected #MSIGHongKong The issuer is solely responsible for the content of this announcement. About MSIG Insurance (Hong Kong) Limited ("MSIG Hong Kong") MSIG Hong Kong is a wholly owned subsidiary of Mitsui Sumitomo Insurance Co Ltd and a member of the MS&AD Insurance Group, Asia's leading general insurance brand with presence in 50 countries and regions globally. The Group is amongst the world's top 10 insurance groups based on gross revenue and one of Japan's leading insurers with A+ Stable credit rating. With over 40,000 employees world-wide, MSIG is represented in all ASEAN markets as well as in Australia, New Zealand, Hong Kong, Mainland China, Korea, India and Taiwan. MSIG Hong Kong offers a wide range of solutions and services through an extensive distribution network including agents, brokers, and bancassurance alliances with leading banks. It has been providing general insurance solutions to customers in Hong Kong for more than 170 years, dating as far back as 1855.
