Outsourced Claims Handling
As well as traditional shipping and marine insurance legal and claims work, we have wide experience of acting as claims handlers on an outsource basis. Outsourced claims handling is attractive to those clients in need of a ready-made insurance and claims team and a first class claims service without the associated fixed costs and investment in staff and senior management time. Cost-effecitve outsourcing provides an around the clock/around the World claims response and advice function. Our commercial approach to legal, commercial and practical problems is enhanced by our ability to be flexible and competitive as regards the costs of such services.
High Volume Containerised Cargo Claims
We were approached by one of Asia’s leading liner companies to review their claims notification procedures and establish whether we could reduce their costs in the face of a threatened rise in P&I premium. The company dealt with approximately 250-300 claims notifications per year, of which more than 90% involve no physical cargo damage claims being pursued. The cost involved in administering notifications for both their owned and chartered fleets was approximately US$1,250,000/year.
We recommended and suggested changes to the claims notification, action and survey processes, including the development of a bespoke survey format, whilst at the same time reducing survey and claims handling costs and management time and providing a useful, cost effective risk management service for claims monitoring and avoidance.
Costs were reduced by approximately 85% over the first 12 months of this project. The fee for handling a notification and the initial reporting process to the point where either no claim will be pursued or a physical damage claim is presented was charges as a small fixed cost per notification. Survey fees are charged at cost in addition. Our large buying power and prompt settlement of survey fees (7 days) on behalf of the cliennt resulted in significant savings on fees usually charged.
Prior to C Solutions’ involvement and review, our Clients were facing average costs per claim of approximately US$4,500/year. The average cost per claim notification using C Solutions’ systems was reduced to US$750/year.
Insurers, MGAs, Brokers
We offer our insurer Clients tailored solutions to suit their needs – from a fully outsourced claims function to interface and support with an existing claims team. This may include assisting on new matters from cradle to grave or reviewing outstanding/legacy claims with a view to driving clearance and releasing reserves. We have experience in working within the Lloyd’s infrastructure acting as a Lloyd's-approved TPA claims handler on behalf of Lloyd’s syndicates as well as for company
We were the appointed claims managers for the run-off of a major Lloyd's insurer's London and Singapore marine business. Our role involved a review of all open liability and hull claims across a number of policy years and the subsequent negotiation and settlement of those claims.
Owners, Operators, Managers, Charterers
We have standalone relations and retainer arrangements across the owning and operating spectrum of shipping and transportation. These range from a fixed retainer to provide insurance and claims management services for an owner who does not have such a function in-house, to inclusion of C Solutions in response procedures to being written into coverage placements as the named claims responders in the policy. We provide claims notification and exclusive claims handling services for Owners and Operators in Europe and Asia.
C Solutions was the named claims responder for a Lloyd’s Broker (wholesale) and its clients, providing a 24/365 claims advice service. Our role included dealing with notification and presentation of claims as well as general advice to the insured client.
Fixed Premium P&I Facility
This client underwrites all strands of marine cover on behalf of a Lloyd's Syndicate. C Solutions was appointed to handle the claims, including receipt of notification of the claim on a 24/365 basis, appointment of surveyors, provision of security, collation of documents, claims settlement and subrogated recovery or defence under a TPA with the Lloyd’s insurer as well as reserving functions.