The largest claims management organisation in France
As the core business of the mutual insurance companies having joined the SGAM, claims management was the first co-operation project within Covéa.
Today, Covéa AIS (Assistance, Compensation, Services) manages the claims files of GMF, MAAF and MMA and their partners as part of a pragmatic organisation, in which the two principal objectives are improving services and controlling costs, with direct benefits for the policy-holders: providing enhanced services and keeping tariffs attractive.
It constitutes the largest claims management organisation in France :
- Nearly 20% of the market share, in property and liability insurance
- 4 million claims managed per annum (including 2 million in Car insurance)
- 4,500 employees.
Inventing the future
Reconciling the requirements of cross-functionality, performance and legibility, the structure dedicated to claims management has shown how effective it can be. 95% of its teams work for their own brand name, the others in three Performance Poles: car and material injury claims, material, fire and casualty insurance claims (IRD) and bodily injury claims. These poles manage the common policies and the unified networks of suppliers and carry out growth experiments.
Covéa AIS pursues its strategy in 4 directions (the "4 S") :
• Style of compensation: dispatching, lead-times, initiatives and skills to improve customer loyalty,
• Solidarity with the networks: using the settlement of a claim to obtain further knowledge about customers in order to optimise the response to their needs,
• Slenderness of costs: switching from a rationale based on settlements to managing total loss experience by developing a new concept: Expected Performance compared with Observed Performance,
• Science of Claims: identifying new levers to control costs and quantify the parameters involved in claims, for a finer approach of risks and customers.
It has several major assets :
- its size,
- quality portfolios,
- centralised management on telephone platforms,
- FIDELIA, a proper assistance company within the Group,
- a large number of performance accelerators such as the Internet, Electronic Document Management (EDM) and remote damage surveys (RDS).
In 2011, if the forces of nature were generally more lenient with France that in the previous year, weather conditions were a common factor for analysing the main events in 2011 in terms of claims. After 2010, a year in which the number of road deaths fell, they stabilised in 2011 (-0.6%), mainly due to a mild weather earlier this year encouraging people to travel more, and use of two-wheelers even in winter, followed by two quarters characterized by a clamp-down on road safety, all against a background of rising fuel prices, inciting people to travel less.
Results: Covéa posted a lower average cost of motor repairs (- 2.3%), while 2006 was the last bearish year on this kind of cost. In terms of theft, thanks to the increasingly efficient protection of vehicles, which lowers the frequency of theft, the latter are becoming more "professional”, increasing the rate of unrecovered vehicles and the average cost per file.
Regarding Multi-risk Home (MRH) Insurance, the mild weather, again, influenced the balance sheet for 2011: a low number of natural disasters, and a particularly mild winter resulted in a drop in the frequency in the number of fires. The climate effect had no impact on theft claims, whose frequency and cost (the soaring price of gold resulted in a larger number of thefts) increased significantly in 2011, in connection with that of overall crime.
Finally, the average cost of injury increased for all three brands, characterized in particular by the increase in costs of third persons and medical expenses.
The two Covéa brands, MAAF and MMA, offer guarantees in construction insurance: on this sector, claims were up 2.5%.
« Its innovative strategy makes Covéa AIS a benchmark on the market. By integrating Assistance, Compensation and Services, it has overhauled the settlement of claims in France with a major asset: its 20% market share as a springboard to design breakthrough scenarios. »
Michel Gougnard, Executive Vice-president of Covéa AIS, Chairman of Fidélia.