AI-powered claims are a big freaking deal for the freight industry

Story by

Damith Chandrasekara

Tags /

  • AI
  • Business
  • Freight

A year ago, our supply chain was massively disrupted by COVID—and threats to loads were on the rise.

Hours of service restrictions were lifted to enable the swift delivery of critical supplies. Drivers were stressed and overworked. A capacity crunch had brokers scrambling—sometimes tapping carriers who weren’t thoroughly vetted. And, private fleets were moving into the spot market without the insurance necessary to ensure business continuity.

As the freight industry encountered a very different economic picture, the value of bringing automation and AI to insurance—especially with regard to speeding up painful claims processes—became abundantly clear.

Artificial intelligence is changing the game

How so?

Well, let’s take Loadsure’s automated insurance intelligence as a real-world example.

To build up a system smart enough to support the requirements of the supply chain, the development team fed our AI platform with historical claims data. Now, as new claims flow in, it identifies known patterns and responds immediately, while also building new predictive responses to edge cases.

Observing how our human adjusters handle manual claims, our engine can automatically handle increasingly complicated claims as new claims flow in, as well—speeding-up an already accelerated process.

Pretty exciting, right?

So, brass tacks: What does the advent of AI-powered claims handling really mean for freight brokers, shippers, and carriers, like you?

Let’s take a look.

Driving down cargo insurance costs

Traditional insurance models are incredibly labor-intensive—and all those human hands touching low-complexity claims ultimately drive up the cost of your premiums. Today, by leveraging bleeding-edge tech, there’s simply no need for it.

With sophisticated claims handling systems processing claims, instead of humans, they reduce operational costs. And, ultimately, these savings can be passed along to you in the form of more aggressively priced premiums.

Taking the guesswork out of claims submissions

Web and mobile apps can now help you fully and successfully submit a claim—without having to play a game of phone tag with your insurance broker.

The automated claims system we’ve built does just this.

Walking you through the process step-by-step and leveraging dynamic forms, it auto-fills the data already on file and displays only the fields required to complete your particular claim—paring down the amount of data you have to enter, ensuring your claims submission is complete, and reducing the potential for error.

Accelerating claims settlements

Today, carriers wait, on average, 30 days for their claims to be resolved. Meanwhile, shippers filing against their carrier’s liability policy typically wait 120 days. When preserving cash flow is critical to business sustainability, that’s an awfully long time to wait.

Tech advances in claims management systems and payment platforms, however, are closing out those claims and delivering payments in just a few days—even minutes. That’s game-changing.

With Loadsure, certificate purchasers and certificate owners can hand-off responsibilities, meaning brokers, shippers, and carriers can work together to quickly complete the submission of a claim.

What’s more, our settlement and liquidity management platform also delivers near-instant claims payments right into your account within a regulated environment.

The result: An automated, accelerated claims process that keeps getting better, faster, easier.

Providing claim status transparency

When it comes to claims, we all crave more transparency. Our businesses and critical business relationships rely on it. Automation makes it possible.

From initial advice to settlement agreement to payment, our system delivers real-time transparency into your claim status. Log-in and you’ll be able to see a confirmation that your claim has been received, so you’re never in the dark. You’ll also see adjuster process notes and, potentially, requests for additional documentation—all right there.

AI-powered cargo insurance is foundational to the resilient freight business

Survival of the fittest, they say. That maxim most certainly applies to the freight industry.

The good news: Freight marketplaces, load boards, and TMS’s now know thriving businesses must balance efficiency and resilience. It’s why they’re increasingly embracing AI-powered cargo insurance—and making it increasingly accessible.