Believe it or not, COVID has taught us the meaning of life. It has shown us the importance of

health and why you need it. The pandemic has not only reshaped how we live but also how

we manage our health and financial security.



One significant area that saw seismic shifts is insurance claims, particularly in how they are

processed and handled from the pre-COVID era to now. 



Pre-COVID Insurance Claims: A Simpler, Traditional Process



Before the pandemic, insurance claims followed a fairly predictable and traditional route.

Policyholders would file claims for incidents, ranging from health and property damage to

life insurance. While some claim-related issues did exist—such as delayed processing,

lengthy documentation, and occasional claim rejections—the system operated on

face-to-face assessments, in-person claims investigations, and manual settlements.



Insurers largely relied on physical documentation and in-person interactions to verify claims,

particularly in health, life, and motor insurance. While digitalisation was on the horizon, its

adoption was slow and far from becoming the norm. 



The COVID-19 Impact: Digital Innovation at an Unprecedented Pace



The arrival of the pandemic in early 2020 changed everything. Insurance companies were

forced to rapidly digitize their operations, starting with claims management. With lockdowns,

restricted movements, and the need to avoid face-to-face interactions, insurers had no choice

but to innovate—and fast.



1. Digital Products and Services: The most visible change came in the form of digital

products and services. Many insurers introduced technologies like satellite imagery and

touchless claims processing. This was a dramatic shift from the manual processes of the past.

Claim settlement became faster, as insurers adopted digital verification methods such as

aerial imagery, mobile apps, and virtual assessments.



2. Health-Related Claims Hiked: Health insurance claims, in particular, saw a significant

spike. Before the pandemic, health insurance claims accounted for a smaller percentage of

total claims, but the focus shifted drastically as the pandemic put the health of individuals at

the forefront.



Post-COVID Insurance Claims: A Hybrid and Streamlined Approach



As the world inches toward a post-pandemic era, many of the innovations introduced during

COVID-19 are here to stay.



1. Hybrid Claims Processes: While digital channels dominate, in-person interactions have not

completely vanished. Post-COVID, insurers are now adopting a hybrid approach, combining

digital tools with traditional methods where necessary. The speed of claim settlement

continues to improve, with fewer delays and rejections due to errors in documentation, thanks

to automation and online claim submission portals.



2. Partnerships and Ecosystems: Insurers are also increasingly partnering with external

companies to enhance their services. For instance, Lloyd's of London, through its Lab

innovation accelerator, has continued to support insurtechs that focus on assessing risks,

including pandemic-related risks. This partnership model has led to faster claim settlements,

particularly for large-scale health and life insurance claims. 



Consulting an Expert: Overcoming Claim-Related Issues



With all the changes, understanding the new insurance landscape can be tricky for

policyholders. Issues such as claim rejection and delays in settlement still persist, though

they've reduced significantly due to digital innovations.



However, if you face such problems, consulting an expert can make all the difference. Bima

Seva Kendra, for example, provides professional assistance for resolving insurance

claim-related issues, ensuring smoother and faster settlements.



COVID-19 has forever altered the way insurance claims are processed. From the

pre-pandemic manual claims to the post-pandemic hybrid digital processes, insurance

companies have embraced change at a rapid pace. While some challenges like claim

rejections and settlement delays still exist, the industry's focus on innovation and customer

care means that policyholders are better supported now than ever before. Whether you're

filing a health, life, or property claim, knowing the changes in the industry—and consulting

an expert when necessary—can help you avoid common issues and ensure a smooth claims

experience.