Issue
A national restaurant chain client with over 200 locations faced claims management challenges that increased costs and strained their property and casualty insurance program.
Key issues included:
- High Volume of Small Claims: Over 5,000 small claims created high administrative costs and operational inefficiencies.
- Extended Settlement Times: Lengthy claim processing increased reserves and administrative pressure.
- Recurring Injuries: Frequent employee kitchen injuries (e.g., soft tissue, cuts, burns), and customer slip-and-falls in high-traffic areas.
- Severe Claims Impact: 80 claims exceeding $25,000, including 15 exceeding $100,000, heavily influenced premium increases.
These challenges underscored the need for a strategic plan to reduce claims frequency and severity, improve resolution efficiency and secure sustainable cost savings.
Solution
We implemented a data-driven strategy focused on claims management, risk reduction and improved safety including:
Data Integration & Analytics:
- Leveraging the Innovu platform, we merged multiple data sources to analyze claims patterns and identify high-risk areas. This provided predictive insights, revealing prevalent claims sources for targeted intervention.
Focused Safety Programs
- Ergonomic modifications and targeted safety training helped reduce soft tissue injuries and risks of burns and cuts.
- Anti-slip mats, enhanced floor maintenance and clear signage were added to reduce customer slip-and-fall incidents in high-traffic areas.
Streamlined Claims Management
By categorizing claims based on severity and automating small claims processes, we reduced settlement durations, prioritized high-value claims and introduced real-time tracking to reduce delays.
Employee Benefits & Workers’ Compensation Integration
Through advanced analytics, proactive risk management and an integrated claims approach, we helped this national restaurant chain reduce claims costs, enhance safety and
achieve sustained savings.
Outcome
In just 12 months, the restaurant chain achieved measurable improvements like:
- 22% reduction in claims frequency
- 5% decrease in settlement times
- 18% reduction in insurance premiums
- Long-term cost savings through ongoing monitoring
Through advanced analytics, proactive risk management and an integrated claims approach, we helped this national restaurant chain reduce claims costs, enhance safety and achieve sustained savings.
| Company Information | |
|---|---|
| Industry | Food & Beverage |
| Entity Type | C Corporation |
| Ownership Structure | Privately held |
| Geographic Footprint | National |
| Number of Employees | 8,840 |
| Annual Revenue | $635 Million |
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