Claims Services

Claims Services provides products for the property and casualty industry and their business partners in the auto, medical and property claims sectors.

This year we realized significant expansion with a 27% revenue increase, and added eighteen new property and casualty clients in Canada.

In Estimating Services, products evolved away from single-purpose systems for auto physical damage claims. For the first time, mobile claims professionals could carry any combination of information systems needed for collision estimating, digital imaging, vehicle valuation, and home- owner's property damage appraisal - on one pen-based computer tablet: PenPro.

Insurance clients electronically transferred claims information to restoration business partners using Autonet, ADP's communications network. The sharing of electronic claims folders between insurers and collision repair facilities became so popular that we created a "Connectivity Services" program to exclusively support this relationship.

Market penetration of other key Estimating Services products also grew. Autosource vehicle loss valuations nearly doubled market share in the U.S. The installed base of Shoplink estimating systems for collision repairers grew to over 5,000 across North America, increasing revenue by 90%. The Photolink digital imaging system became the de facto industry standard.

Below: Zurich Canada conducts electronic commerce with collision repair facilities and independent appraisal firms, unifying and controlling the claims restoration process with information systems and network communications from ADP. Nick Briante, Senior Vice President, Claims (right), and Trevor Hayes, National Appraisal Manager (left), meet with ADP's Director of Client Relations, John Kotsopoulos, to explore the implementation of Electronic Funds Transfer as the next step in Zurich's blueprint for overall process improvement and increased customer satisfaction.

ADP Parts Services helps the flow of salvage parts information among insurers, body shops and automotive recyclers. Over 3,000 parts recyclers now manage their salvage inventories with our yard management systems. Computerized storage of parts records translates into increased on-line availability for insurers and collision repairers using ADP's PXS locating system. Recyclers also bought and sold over 7.5 million parts among themselves, using ADP's satellite and land line networks.

In medical claims, Integrated Medical Solutions (IMS) had strong revenue growth, fueled by its added value for existing relation- ships between insurers and medical providers.

Provider Bill Audit (PBA), is a computerized system that reviews medical bills to help insurers contain costs. Twelve of the top fifteen U.S. insurers are either licensing or piloting PBA software.

Above and right: When American Family Insurance Company invested their Concept Claims System (CCS), technology provided a means to implement their dream of a paperless work environment. One of their Physical Damage Representatives, Bob Schubring, uses his mobile ADP system to capture digital images of the damaged vehicle and write the computerized estimate while still in the field. As soon as he transmits this electronic claims folder to Donna Drews, the Drive-in Claims Processor at the office, she starts the check-in process to file the claim in CCS. within a matter of minutes, claims representatives at American Family can access the information - simply by opening the folder on their computer screen - as they provide service for the policyholder. IMS also has medical specialists to manage claims for key clients, aided by an electronic data interchange. In addition, IMS is beginning to audit Workers' Compensation claims, and has introduced a Negotiated Fee Network of preferred medical providers to further ensure quality medical services at reasonable costs.

Claims Services will continue to build upon the momentum created in '96, while pursuing acquisitions that add value to the property and casualty industry and its trading partners.