Insurers and Brokers Must Lead Claims Gap Diagnosis

What if you could see your team’s claims handling blind spots before they became complaints, compliance issues, or headlines?

In today’s environment, diagnosing capability gaps isn't optional, it's fundamental to delivering the customer experience our industry is judged by.

Expectations across Australia and New Zealand have never been higher. Customers want clarity, empathy and speed. Regulators want evidence of competence. Boards want assurance.

And claims teams, the people customers deal with in their most difficult moments, are being asked to deliver all of this at pace.

The conversation has shifted

The question is no longer if skills gaps exist, but where they exist and how they influence customer outcomes.

Claims handling is more than a technical function; it is a human one. It relies on emotional intelligence, ethical judgment and relationship-building, the skills that form the backbone of customer trust.

At ANZIIF, we hear consistently that leaders want visibility and teams want clearer pathways to grow. Capability is now a differentiator. It defines not just the experience we deliver, but the reputation we build as an industry.

A new way to understand capability

To support this shift, ANZIIF has launched the Knowledge Diagnostic Tool [1], an evidence-based assessment helping organisations accurately identify capability gaps across five critical claims handling skill areas:

Empathy

• Ethics
• Relationship management
• Cash settling standards
• Working with experts

Participants complete a 50-question assessment, and organisations receive clear individual and team-level insights that highlight strengths and development needs.

This gives leaders a practical, targeted way to build development plans rather than relying on broad training that doesn’t always address the real issue.

Capability is now a compliance requirement

Since claims handling became a licensed financial service in 2022 [2], organisations must demonstrate that their people are competent.

That responsibility cannot be fulfilled through assumptions. A diagnostic approach provides insurers with:

• A defensible record of competency
• A clear, measurable training roadmap
• Stronger governance oversight
• Reduced risk of non-compliance and reputational harm

In an environment where scrutiny is increasing, insurers need tools that build confidence and demonstrate care.

Understanding capability gaps is not about fault-finding, it’s about strengthening customer outcomes and supporting the professionals who show up every day to help people recover.

The changing stakes in claims handling.

Talent shortages, retirements and competition for skilled professionals are widening the gap.

Gallagher Bassett reports 92% of Australian insurers now face significant claims capability challenges, far above the global average. [3]

Meanwhile, Gracechurch’s 2024 survey shows a striking contrast: two-thirds agree claims service is becoming more important, yet only one-third believe their organisation is investing enough in claims talent.

The disconnect is clear. Capability is becoming a strategic, cultural and operational priority.

What’s next

ANZIIF is expanding the Diagnostic Tool to include Vulnerable Customer Capability, with further modules in development.

The future of claims belongs to professionals who combine technical expertise with empathy, judgment and ethical leadership.

Those who invest in understanding their gaps today will shape the industry tomorrow.

Capability builds confidence. Confidence builds trust. And trust is the foundation of our industry’s future.

Explore the Claims Handling tool

References

[1] anziif.com

[2] www.insurancebusinessmag.com

[3] Gallagher Bassett News and Insights

[4] www.claimsjournal.com