CRAWFORD & COMPANY® ACQUIRES PRAXIS CONSULTING
Crawford & Company® (NYSE: CRD-A and CRD-B), the world’s largest publicly listed independent provider of claims management and outsourcing solutions to carriers, brokers and corporations, has acquired Praxis Consulting, a leading provider of outsourced subrogation claims management and recovery services in the United States. read full press release
Missed Files Happen
1-5% of recoverable claims never make it to subrogation.
Are you experiencing any of these contributing challenges?
1-5% of recoverable claims never make it to subrogation.
Are you experiencing any of these contributing challenges?
Multiple Systems
Budgetary Constraints
Retaining Expertise
Access to IT Resources
Years of experience combined with purpose-built technology has yielded expertise in:
The Plan for Getting Your Money Back
Every Claim Reviewed
Our trained professionals conduct a thorough review of every claim leaving no file behind.
Proven ProcessWe offer a seamless transfer of data not only with a methodical manual approach, but also customized analytics.
Get Money BackWe successfully increase your bottom line, reduce reserves, and decrease fixed overhead.
What Makes Praxis Uniquely Qualified to Get Your Money Back
Experienced
Over 25 years in the industry.
Over 25 years in the industry.
Economical
We've recovered over $1 billion for our customers.
We've recovered over $1 billion for our customers.
Trusted
Over 100% growth in the last two years
Over 100% growth in the last two years
Explore the solutions we offer:
Subrogation Outsourcing
Consider outsourcing your subrogation. This turn-key offering provides the shortest path to a complete solution. read more
Closed File Review
Consider it a safety net. Missed opportunities found and recovered. The check is in the mail. read more
Arbitration
Arbitration is a highly-specialized skill; one that offers the opportunity for significant recoveries on disputed claims, as well as preventing payouts on third-party counter claims.read more
Power of the Subrogation Dollar
Subrogation dollars and investment income have historically challenged each other for the second largest income stream for insurance companies. Premium dollars are number one. Personal auto collision payments total about $40 Billion annually. Using the recovery to paid loss benchmark, it is estimated that annual subrogation recoveries total $7.5 Billion. Add in No-Fault, Property, Worker’s Compensation and all other lines of business and the overall subrogation potential is dramatically increased.
The magic of subrogation is that it is an unencumbered dollar, other than the cost of collection. The below chart illustrates, with some realistic assumptions, that the subrogation dollar yields 18 times a premium dollar. Said another way; to provide the same bottom line value as $1 Million in subrogation, $18 Million in premium would need to be earned.
Is your company taking full advantage of the Power of the Subrogation dollar?
The magic of subrogation is that it is an unencumbered dollar, other than the cost of collection. The below chart illustrates, with some realistic assumptions, that the subrogation dollar yields 18 times a premium dollar. Said another way; to provide the same bottom line value as $1 Million in subrogation, $18 Million in premium would need to be earned.
Is your company taking full advantage of the Power of the Subrogation dollar?
| Premium | Subrogation | |
|---|---|---|
| Total Dollar Amount | $100 | $100 |
| Paid Loss | ($61) | $0 |
| LAE | ($12) | $0 |
| Underwriting Expense | ($22) | $0 |
| Cost of Collection | $0 | ($10) |
| Total | ($95) | ($10) |
| Net Amount | $5 | $90 |
| Subrogation dollars yield 18 times a premium dollar | ||
Free Articles
A Finance Point of View
Did you know that companies that outsource just a portion of their claim files to outside service providers have recovery rates 2.3% higher than those that do not? Are you aware of your subrogation recovery ratio? Download now to join the 39% who see strategic value in subro.
Did you know that companies that outsource just a portion of their claim files to outside service providers have recovery rates 2.3% higher than those that do not? Are you aware of your subrogation recovery ratio? Download now to join the 39% who see strategic value in subro.
Getting Back to the Basics
Subrogation and salvage are the only parts of the claims organization that can generate positive income. Read our 5 Basic Concepts to Improve Subrogation Results for Your Company to go back to the [subrogation] basics and fundamentals.
Subrogation and salvage are the only parts of the claims organization that can generate positive income. Read our 5 Basic Concepts to Improve Subrogation Results for Your Company to go back to the [subrogation] basics and fundamentals.
Subrogation and Your Bottom Line
Even small increases in subrogation recovery have significant effects on the loss ratio and a company’s profit or loss for any given year. Typical insurance companies recover approximately 5.1% of their paid losses via subrogation. Read the Ward Group Study.
Even small increases in subrogation recovery have significant effects on the loss ratio and a company’s profit or loss for any given year. Typical insurance companies recover approximately 5.1% of their paid losses via subrogation. Read the Ward Group Study.