How Auto Claims Leaders Can Improve Performance in 2027

Complex repairs, evolving technology and changing workforce needs are putting greater demands on auto claims operations. Improving performance requires closer attention to how claims progress, how decisions are made and where customers encounter delays.

For auto claims leaders planning for 2027, four priorities have surfaced among members of Auriemma Roundtables’  Auto Claims Roundtable: controlling severity through earlier intervention, improving the quality of technology-enabled claims handling, simplifying the customer experience and developing adjuster expertise.

1. Controlling Severity Through Earlier Intervention

Vehicle complexity, higher labor costs and limited technician availability continue to challenge auto physical damage claims operations. Electric vehicles can add complications when qualified repair facilities are scarce, while decisions involving manufacturer repair procedures, parts selection and safety components require careful evaluation.

These pressures connect repair costs, cycle times and total loss decisions. A delay in identifying the appropriate resolution can prolong rental expenses, create additional work and leave customers uncertain about what happens next. Claims leaders need visibility into the full process, repair-versus-total-loss decisions as estimates change, track repair progress alongside rental days, and assign clear ownership for resolving delays and completing salvage recovery.

Bodily injury claims require similar attention to early handling. Prompt identification of exposures, routing to appropriately skilled adjusters and proactive communication can support timely resolution. Strong negotiation skills and a clear understanding of the claim remain essential to evaluating settlement opportunities.

“Controlling severity starts with understanding what each claim needs early enough to act on it,” says Ron Kifer, SVP, Insurance, at Auriemma Roundtables and leader of the Auto Claims Roundtable. “The opportunity is to make informed decisions sooner, with the right expertise involved before delays or unresolved issues add cost.”

2. Measuring AI and Photo Estimating Against Final Outcomes

AI and automation are finding practical applications in claims intake, routing, document summarization and data capture. These capabilities can reduce administrative work and give adjusters more time to evaluate claims and communicate with customers.

Photo estimating also supports faster initial assessments, but its effectiveness depends on what happens after the estimate. Supplements may reflect damage that was not initially visible, differences in repair practices or estimating inconsistencies. Understanding those causes helps claims teams distinguish necessary adjustments from avoidable rework.

A hybrid approach remains valuable: photo estimates for appropriate claims, internal review of parts and labor, and field expertise when complexity warrants it. Quality assurance should connect estimating decisions with supplement activity, cycle time and final claim cost.

“An initial estimate can be completed quickly while the claim itself still takes too long to resolve,” Kifer says. “Leaders need to evaluate whether technology improves accuracy, reduces repeat work and helps the adjuster move the claim forward.”

Integration is equally important. A tool that summarizes documents or captures information delivers more value when its output fits naturally into the adjuster’s workflow. Disconnected systems and repeated data entry can limit productivity gains, even when individual tools perform well.

3. Simplifying the Claims Experience While Preserving Choice

Digital reporting, electronic signatures and faster payments can remove delays, but adoption remains uneven. Customers continue to report claims through apps, phone calls and agents, and their preferences can change as a claim becomes more complicated.

Improving the experience requires attention to both channel choice and claim ownership. Giving appropriately trained desk representatives responsibility for more of the claim can reduce handoffs and provide a more consistent point of contact. That approach also requires clear escalation paths and access to specialists when a claim exceeds the representative’s expertise.

Communication deserves the same operational attention as processing speed. Customers need to understand the next step, the reason for a delay and when they can expect another update. Proactive explanations are particularly valuable when repairs take longer than anticipated or a claim moves toward a total loss.

Leaders can use customer surveys, justified complaints and escalated calls to identify recurring problems. Combined with cycle time and quality reviews, these measures help reveal whether a workflow is making the process easier for customers and employees.

4. Developing Adjuster Expertise as Roles Change

Broader claim ownership and greater automation are changing what adjusters need to know. Employees may spend less time on routine administration while taking on more complex decisions, negotiations and customer conversations.

That shift makes development a core operating priority. Hands-on training, supervised claim handling, mentoring and cross-training help employees build judgment. Remote and hybrid environments require more deliberate opportunities to observe experienced colleagues and discuss difficult files. AI-supported coaching and role-playing are also being explored as additional ways to practice communication and negotiation skills.

Retention strategies need to recognize that advancement does not always mean managing people. Clear technical career paths can help experienced adjusters continue developing while preserving expertise within the organization.

“If technology gives adjusters more time for complex work, they need the preparation and support to use that time effectively,” Kifer says. “Training, coaching and career development should be part of the operating plan whenever responsibilities change.”

Quality assurance can reinforce that development by turning file reviews into specific coaching and identifying issues that warrant broader team training. Together with succession planning and knowledge sharing, those practices help sustain performance as roles and staffing needs evolve.

About Auriemma Roundtables for Auto Claims

The Auriemma Auto Claims Roundtable brings claims leaders together for confidential peer discussions on severity management, technology, operating models, workforce development and customer experience. Participants compare approaches and explore practical ways to strengthen claims performance.

To learn more about the Roundtable or inquire about membership, contact Ron Kifer.