Collaborative technology, process improvement strategies and predictive analytics are some of the areas seen as offering potential for improving insurance litigation management, according to an article in the Spring 2013 issue of Litigation Management Magazine, a publication of the Claims and Litigation Management Alliance.
The emerging trends were identified by various industry personnel interviewed for the article.
The collaborative technology trend refers to technology that connects law firms and insurance carriers, allowing for shared files and information. This can result in significant time savings with everyone on the same page and updated regularly about case status.
Process improvement strategies include a centralized law firm back office and attorneys who are not on partnership track who focus on client work, handling most matters before a partner reviews them.
Predictive analysis requires collecting and analyzing key data. Insurance companies are using litigation metrics based on data to help them “eliminate unnecessary legal expense, dispose of cases as quickly and cost effectively as possible, improve early case assessment and reserving practices.”
Data is also key to developing alternative fee structures that do not depend on hourly billing. As noted by Domenick DiCicco, head of legal strategy for AIG:
What we want is the best and quickest resolution possible for each matter. When we can all look at data and see how long a certain type of case should last and at what ballpark amount it should be resolved, we can easily price that kind of case. It makes our legal spending more predictable and gives the law firm a framework in which to work and incentive to reach a good resolution quickly.
The terrain of litigation management in the insurance industry continues to evolve. Insurance companies need a law firm on their side that embraces change and improvements to process, including emerging trends.
At Tharpe & Howell, LLP, we have over 60 attorneys firm-wide who specialize in a wide variety of matters. For over 35 years, small businesses, major corporations, public entities, individuals and insurance companies have depended us to work with them in jointly achieving pragmatic, innovative, and cost-effective results. For more information, please contact us at (818) 473-5720 or email your request to email@example.com.