Claims in an Evolving World
Why claims keeps changing
Claims professionals work where contract, customer, law, and technology meet. AIC 300 asks you to see the forces reshaping that point. Key concepts include data analytics and artificial intelligence, telematics and drones, virtual adjusting, social inflation and large verdicts, third-party litigation funding, climate and catastrophe patterns, cyber and intangible losses, supply-chain disruption, workforce turnover, and rising customer expectations.
What the exam tests
Questions often ask you to separate drivers of frequency from drivers of severity. Technology can reduce frequency through loss prevention and telematics while increasing severity through cyber exposure and systemic dependencies. Social inflation is a severity pressure in litigated claims, not general price inflation. Catastrophes usually create frequency spikes and severity surges at once. Regulation and data-privacy rules affect how you investigate and document.
Traps
Do not assume technology removes professional judgment; it changes where judgment is applied. Do not treat emerging risks as only large-commercial issues-personal lines faces cyber, climate, and fraud too. Watch for answer choices that confuse a trend with its effect, or that ignore ethical duties when using data.
Rule of thumb
Apply a three-question “change lens” to any trend: Does it change how often claims occur, how large they become, or how we handle them? Example: third-party litigation funding mainly raises severity in disputed litigated claims; it does not make accidents more frequent. If an answer choice says it raises frequency, that is a trap.