Loss Fund Management

The Challenge

With Loss Funds sitting dormant despite all claims being paid in full and redundant loss
funds not being requested to be returned, there is an opportunity for these funds to be
actively pursued through using specialist firms where resource is not readily available.

In some cases, it is not known where Loss Funds reside or with whom as funds have not
been effectively managed, and as such there is an opportunity to identify and recover
funds that would otherwise be written off and not deployed on any balance sheet.

To undertake any project of this nature, Pro would require a data set from the client
identifying Unique Market Reference (UMR) \ agreement role (lead) and fund value
where known along with access to Electronic Claim File (ECF) \ Insurer’s Market
Repository (IMR) under the client’s access rights \ permissions or can undertake a
financial / transactional accounting audit of the Delegated Claims Administrators (DCA)
/ Third Party Administrators (TPA)

The Challenge

With Loss Funds sitting dormant despite all claims being paid in full and redundant Loss
Funds not being requested to be returned there is an opportunity for these funds to be
actively pursued through using specialist firms where resource is not readily available.

In some cases, it is not known where Loss Funds reside or with whom as funds have not
been effectively managed and as such there is an opportunity to identify and recover
funds that would otherwise be written off and not deployed on any balance sheet.

In this particular case study, the initial remit was to reconcile and repatriate “surplus”
Loss Funds (i.e. sum of Loss Fund less claim reserves) as detailed in the data set
provided by the client.

This process evolved on Pro’s recommendation as the outstanding reserve figures
provided were not up-to-date.