Claims Manager – Managing Claims in the Construction Industry

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There’s no getting around the fact that construction environments are loaded with unforeseen claims-producing conditions. Even with the best risk assessment practices and mitigation provisions, accidents happen on construction sites. 

As the construction industry progresses and becomes more complicated, claims are also becoming more complicated. Construction statistics from 2020 indicate that there is not only a lot of growth in the market but also increased risks.  It is more important than ever before to have a claims system that can keep up with the changes and challenges. In the construction industry, successful claims management is simply a part of doing business. Prevention is always your best option, but when claims occur, your next step is to use a solution that keeps disputes at a minimum and the claims process on track. 

Four Stages of Construction Claims Management

There are many claims management products on the market but it is important to use a system with functions and modalities you need to successfully communicate with owners and other vested parties through the four stages of management: claims prevention, mitigation, identification and calculations, and finally resolution.

Our Claims Manager solution lets you leverage integrated products that streamline workflow with crucial functionality and take the stress out of construction claims. It gives you a complete risk management system that lets you administer, adjust, and accurately report claim data. 

Below is a general overview of the four stages of claims management followed by a brief explanation of how the Claims Manager manages and expedites tasks in each stage.

Claims Prevention

Create custom reports in ReportBuilder at the Pre-tender and contract formulation phase of a project. 

Claims Mitigation

Define the scope, responsibilities, and risks associated with each phase of construction activities. In addition, the software offers functions that allow you to create risk management assessments and plans.

Claims Identification & Calculations

Analyze the scope of work and contract provisions. Configure the software for claims identifications including possible claim exposures, the scope of work, provisions in the contract, contract terms, extra work definitions, and extra time requested. Once an activity is identified as a claim you can quantify it with additional payment time, extension to the completion date, or other milestones. Plus, you can design a schedule with delay time calculations noting any direct or indirect costs that the claim may incur. 

Claims Resolution

Create change orders, and if the claim is unresolvable, you can create notes and support materials for negotiation, mediation, arbitration, and litigation for a successful resolution.

Controlling costs and meeting target dates requires due diligence during the claims process. Using a cloud-based system like Claims Manager to configure your business and automate your workflow can help you stay on top of your claims. More importantly, a system that keeps you organized can help prevent claims before they arise.    

To learn more about Claims Manager and talk with an expert on how you can customize the software to your business needs, go to www.jdidata.com and click on the Claims Manager menu item.