ROI Calculator
What is cost per claim?
Cost per claim is the fully loaded cost of administering a single warranty claim from first notice of loss through contractor payment. It combines the labor cost of every manual touch across the claim lifecycle with the software and platform cost allocated to each claim. Carriers that measure it closely usually find that scheduling, authorization, and escalation handling carry more cost than intake does.
How much can claims automation reduce cost to serve?
This model separates the two ways automation reduces cost. Operational savings come from removing manual handling at each claim stage, measured as a reduction in cost per claim. Product ROI comes from specific mechanisms such as avoided truck rolls, factory warranty identification, coverage exclusion catches, and replacement avoidance. Platform fees are counted once against cost per claim and are not deducted a second time from product ROI.
Which claim stages does the model cover?
Seven stages: claim initiation, scheduling, triage, authorization, parts ordering, adjudication, and miscellaneous support and escalations. Each stage is weighted by the share of claims that reach it, so a stage only 20 percent of claims touch contributes proportionally less to the total. Scheduling and escalation handling are held at their current cost in this model, which is why they show no saving.
FAQ
Questions about the ROI model
How is cost per claim calculated in this model?
Where do the default assumptions come from?
Why does cost per claim rise when I enter a lower claim volume?
Are ProPay platform fees included in the savings?
Which modules produce savings without a separate ROI figure?
Can ProPay run this model on our own claim data?
