KMRD’s Finds Money in Claims While Redesigning Processes for Efficiency Generating a 2,213% ROI
A client’s prior risk management firm could not manage multiple claims being reported on a daily basis. KMRD re-opened of old claims and tackled new ones generating significant funds and reduced administrative burdens.
Our team reduced staff expenses by incorporating new forms and workflows, resulting in a 50% savings. Our efforts and involvement collected roughly $2,460,757 in funds from carriers, which resulted in a 2,213% return on investment for our client. We reviewed the client’s files and claims, organizing them and importing them into out paperless filling system, XChange.Increased Savings
2,213% ROI
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The Issue
The risk management department of a highly fragmented organization with $8 Billion in urban real estate could not keep up with multiple claims being reported on a daily basis. This caused late payments to its stakeholders, significant open claims reserves, and claims were actually closed for no payment by the carrier because of lack of followup..
Our Response
KMRD was hired to:
- Systematically review the files of outstanding property claims with a goal of organizing them and reporting them into a paperless filling system accessible via the Internet utilizing KMRD XChange.
- Re-open old claims that pierced the deductible and purse/negotiate additional settlements from the carriers.
- Investigate and address internal property losses that fell below the company’s $250,000 deductible, developing better information processes.
- Re-design the reporting forms and claims management work flows to cut down on the “back and forth” correspondence and increase the overall efficiency of the process.
The Results
Over a period of 1 year, KMRD’s involvement yielded the following:
| Collected Funds on 12 Claims Prior to KMRD Involvement | $ 486,476 |
| Funds Retrieved from Carriers Due in Large Part to KMRD’s Involvement | $2,460,757 |
| Internal Property Claims Processed that Fell Below the Deductible | $8,013,827 |
| Total | $10,961,060 |
| KMRD’s Cost | $111,217 |
| Return on Investment based on $2,460,757 of collected funds from carriers | 2,213% |
- Number of claims processed to closure = 140
- Reduction in staff expense incorporating new forms and work flows = 50% savings
- Organized claim files into a digital filling system accessible 24/7 via the Internet- Disaster Recovery method established.
KMRD’s aggressive claims management and workflow design expertise paid off in a big way. That’s the KMRD difference.