Rob sees three key areas where rules can help:
Tighter warranty controls
Claims processing is improved because financial limits, detailed coverage types, materials return and more can be automated and rapidly changed when necessary. The rules also allow “what-if” testing and impact analysis.
Better built vehicles
The decision making is tracked very closely thanks to rules so you can analyze specific repair types, specific VINs and so on. More effective parts return and generally better information also contribute.
Lower cost repairs
Rules allow goodwill repairs, labor-only repairs and specific kinds of repairs to be managed very precisely. Rules-driven decisioning can reduce the variation of costs between dealers and help intervene, rejecting or editing claims that seem overly expensive. The ability of rules to deploy data mining and predictive analytics can also really help here.
Continuing some posts on next generation warranty systems in the build up to speaking at the Warranty Chain management conference I thought I would contrast how current generation warranty systems handle critical decisions with how next generation systems do so.