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By Paul McLaughlin

I like to joke that I’ve never had a “real job” because I launched APP Tech, straight out of college with a buddy of mine, Peter. At the time — this was 2003 — I knew I wanted to build software, and didn’t really care what the industry was, but Peter’s father owned a group of transportation companies in the Philadelphia area, and so that’s where we started. 

This post will cover a few key lessons I’ve learned in the decades since. Peter left the company in 2005 to dedicate himself full-time to his father’s business (we’re still great friends), and I feel extremely blessed to have helped grow this company from these humble beginnings into a successful software business with an amazing team and hundreds of customers across North America. 

More than 20 years ago, my APP Tech co-founder and I started with a simple goal: build meaningful, customer-focused solutions that solve real-world challenges. Simple enough on paper, but from the start, our journey at APP Tech has been a continuous learning opportunity, and no doubt that will continue. 

Our first software deliverables were a handful of products designed for a single customer in a single industry. From these early projects, our team and our vision grew, and we’ve learned valuable lessons about listening, adapting, and, above all, the importance of building strong, trusting relationships. Here are a few of those lessons.

1. Embrace outsiders: There’s power in new and diverse perspectives

When my co-founder, Peter, and I started our company, we were winging it. Fresh out of college and with zero industry experience, we had one client, Peter’s father’s transportation company. We knew how to build software and we knew how to ask good questions, that was pretty much all we had going for us.

But after only 18 months in business, we landed a contract to build a claims-management solution for Greater Houston Transportation (GHT). At that time, GHT was the second-largest taxicab company in the U.S. This was a major win, and our industry-outsider status turned out to be a critical factor in closing the deal. 

We were at a trade show and met a guy named Raymond Turner — a big, tall Texan with a cowboy hat and swagger. He had worked in tech before, but was a newcomer in the claims world. When he walked by our booth, he saw what we were doing and said something like, “This industry is backwards. It’s out of date, and you have a fresh take on this. That’s going to be really good for us.”

He saw that the transportation industry had become insular, in a way, and was in a rut — confined by the way things were done in the past. 

Outsiders see things differently, and can draw new conclusions from the same old facts. They notice opportunities that aren’t obvious to people who have spent too long looking at the same problems and solutions.

Entering the claims industry without conventional experience, our team had a fresh approach, which was to focus on the incidents that lead to claims, rather than starting with claims themselves.

As an outsider himself, Raymond Turner saw the value of our fresh perspective, and he hired APP Tech for GHT. After that deal, we managed to land Total Transit in Phoenix, and APP Tech was off to the races.

Valuing the outsider mindset has since become a defining feature of our work at APP Tech, even shaping our hiring practices to favor diverse backgrounds, passion, and potential over narrow industry expertise. We’ve come to learn that this approach drives innovation and keeps the team focused on real-world problem-solving.

2. Adaptability and intention are key: Find what works, adjust, and focus

APP Tech launched with a suite of three software products — vehicle fleet management, HR compliance, and claims management — all built for the transportation industry. But over our first few years in business, we discovered that the need for our claims management solution cut across industries, and there was ample opportunity in retail, property management, construction, and other fields. We didn’t come to this realization on our own, we heard it from our clients and prospective clients first.

At the time, we were hesitant to pull the plug on our other software offerings, but the writing on the wall became clear: Claims management was worthy of our undivided attention. This was the idea worth building our business on. 

APP Tech’s “incident-first” claims management approach, developed from an outsider’s perspective, resonated with clients by offering a unique and practical solution that traditional claims systems overlooked. So, we shifted the team to focus on that one product, IMS, which would later become our flagship offering, Cloud Claims.

We went deep on functionality, user experience, and real-world use cases, ultimately delivering a claims-management system that was distinctive, flexible, and highly reliable — across various industries.

This shift from a diversified product lineup to a specialized focus allowed the team to build a pinpointed solution for a widespread need. Many enterprise solutions attempt to cover too many bases, which often leaves them “a jack of all trades, master of none.” We listened to the voice of the customer, pivoted, and found our niche.

3. Get out there: Customer relationships are your greatest asset

The most impactful interaction I ever had with a client came at a trade show. In 2007, I was manning our booth and having a conversation with a prospect. I saw one of our customers, LaMonte Jackson from Total Transit, walk up and kind of stop. He could hear my conversation, and at some point, he stepped in and addressed the prospect. He said something like, “We work with these guys and they are fantastic.” Then he went on to give us a ringing endorsement. 

When the prospect eventually left, I thanked LaMonte for his words, and he just looked at me and shook his head. “No, man. It’s all good,” he said. “You guys are great to work with.” And he reached over and he patted my chest. It kind of shocked me. “Never lose this, man. Never lose that right there.”

This meant so much to me, because I really respect LaMonte. He’s a wise man, and he showed me that he really appreciated not just what we accomplished together, but the relationship we built while doing it. It touched me in a way that has affected my life. Sometimes you feel like you’re working so hard, and sacrificing, and you don’t know if the work is good enough, and you don’t know whether anybody really cares or notices. But to get that kind of feedback from a customer, where it’s all about what’s in your heart, that’s better than any compliment you could give me on our software.

And it gave me encouragement to just stay true to that path, not to lose that heart.

Customer relationships are at the core of APP Tech’s approach. We make it a point to have frequent interactions and on-site visits with our clients — and yes, we still go to trade shows!  Because face-to-face time provides unique moments, insights into client needs, and lets us see the real-world impact of our work. Being there in person reinforces our commitment to listening and adapting to serve our clients better. It’s critical, especially in industries where clients prioritize trust and personal connections.

The role of employers and claimants in the claims process is important, and it begins with the first notice of loss (FNOL). The FNOL is the first content that initiates the insurance claim process. It is the moment the claimant notifies an employer about any damage, loss or injury, before the employer can respond to an incident. With the necessary information from the FNOL report, adjusters can begin investigating and managing the incident and any related claims.

It is important for self-insured companies to report the FNOL promptly because it can help them follow reporting regulations, address risks before they escalate and start the claim process for claimant satisfaction. However, obstacles to FNOL reporting can delay the process and complicate claims management.

To help you avoid these challenges, here are the top five obstacles to FNOL reporting and what you can do to overcome them.

1. Incidents Are Not Reported in a Timely Manner

If the incident is not reported in a timely manner, it may delay the insurance claim and impact FNOL accuracy. Cumbersome and time-consuming reporting processes are a key reason for underreported workplace injuries. When incidents are not reported immediately, important details like the date, time and circumstances of the event may be forgotten or miscommunicated.

Inaccurate or incomplete information can hinder FNOL submission to the third party administrator (TPA) or insurance carrier. It also prevents risk managers from thoroughly assessing risks. This may keep them from finding the root cause and taking proactive measures to prevent future incidents.

Supervisors, too, may be unclear on their responsibilities. For example, if an employee waits several days to report a slip-and-fall accident, by the time they do, the exact location and conditions may no longer be clear. The wet floor may now be dry, or faulty equipment may have already been fixed during that time.

The use of paper-based reporting can slow down the routing process further. If an employee fills out a paper incident report, it may sit on a supervisor’s desk for days before being forwarded to the appropriate department. In contrast, electronic reporting allows employees to report incidents directly from the field.

2. The Organization Lacks a Standard Incident Reporting Process

A lack of reporting knowledge is a common reason for underreporting work-related injuries. Without a standard operating procedure (SOP) for incident or FNOL reporting, employees may not know what to do. For instance, staff must know how much time they have to report an incident, who to notify and what details to include in their insurance claim. Otherwise, it may lead to late reporting.

Supervisors, too, may be unclear on their responsibilities. For example, a supervisor may be unsure whether they need to conduct a full investigation or simply fill out a basic report after an incident. The lack of clarity can have repercussions. It can result in incomplete documentation and missed opportunities to address safety issues.

This could lead to noncompliance with the Occupational Safety and Health Administration (OSHA). OSHA has recording and reporting regulations companies must follow. Standardizing the process helps avoid noncompliance issues, such as fines or penalties.

3. Reports Are Incomplete or Arrive Piecemeal by Various Methods

Disorganized or scattered incident reporting can lead to common claims management challenges. Such challenges could include miscommunication, errors, incomplete information and delays. For instance, if a video of the incident is emailed separately and a hand-written form is scanned and sent through another method. This scenario creates multiple points of contact. That can be confusing and lead to missing details.

This piecemeal approach contrasts with completing the process online in a single platform. Using an online reporting platform ensures information is captured and submitted together. This streamlined approach can help improve the claim’s accuracy, accessibility and compliance.

4. Key People or Teams Are Not Engaged Quickly Enough

Communication and engagement with stakeholders are important during the claims process. The lack thereof may lead to delays in notifying the right people. Such inefficiencies may result in missed deadlines or potential complications.

For instance, if an FNOL is sent via interoffice mail instead of an automated system, it may take days for the relevant team to receive and act on it. This delay may prevent supervisors from capturing the data or conducting an investigation. What if an organization uses technology but does not have automated alerts set up? Supervisors may not receive immediate notification of an incident.

As a result, key details might be overlooked, and the claim may not be resolved effectively. Quick engagement is essential for accurate reporting and timely response times.

5. There Is a Lack of Follow-Up on Cases

When an incident is perceived as non-critical or minor, it can lead to delays in FNOL reporting because it is deemed not serious. The delay can result in missed opportunities for early intervention and proper FNOL submission. Also, if an injury is not promptly followed up on, the employee may not seek necessary medical care. This may exacerbate the employee’s injury and complicate the claims process. And as such, it can potentially lead to the employer facing legal consequences.

Also, who holds accountability for the incident? A lack of follow-up means the incident cannot be addressed or prevented in case of repeat incidents. Effective follow-up practices can help with proper claims management, accountability and preventive measures.

The Role of Technology in Claims Processes

Claims management software helps organizations with claim processing by streamlining incident reporting. Designed for self-insured companies, TPAs and insurance providers, APP Tech’s Cloud Claims helps clients tackle FNOL reporting challenges.

Cloud Claims software is equipped with various features, including:

• Incident-based design: Users can easily navigate and manage incidents from start to finish.
• Customizable forms: Organizations can tailor their reporting process to their specific needs.
• Streamlined workflows: These workflows help reduce delays and optimize timely engagement.
• Desktop and mobile optimization: The software facilitates real time reporting from any web-enabled device.

Each of our features helps make the claims management process a smooth experience.

Start Streamlining FNOL Reporting With Cloud Claims

Streamlining your FNOL reporting is an important consideration for any business. With the right tools and processes in place, it can help with efficient claims management and risk mitigation.

Cloud Claims offers organizations the tools to capture and communicate incident data efficiently. We are the only company to offer an incident-based risk management information system (RMIS) with a 100 percent implementation success rate. Our technology continues to make processes more efficient.

Are you ready to improve your incident reporting? Contact APP Tech today and see how Cloud Claims can transform your claims process.

Cloud computing refers to services delivered via the internet rather than on-site hardware or software. The concept of being able to access programs and data from anywhere, traces back to the 1960s, though the term “cloud computing” was not coined until 1997. Today, cloud computing is a tool commonly used by businesses — including organizations that deal with claims processing.

According to the Top Actuarial Technologies of 2022-2023 report, 69 percent of actuaries use cloud computing or storage frequently or often. This is not surprising, as cloud technology offers benefits ranging from increased efficiency to decreased IT-related costs. McKinsey and Company found that the EBITDA run-rate impact of cloud technology on the insurance sector will be as much as $110 billion by 2030.

Like any business wanting to cut costs and boost efficiency, self-insured organizations are harnessing the power of cloud computing to revamp and optimize their claims management process. Here are some of the ways cloud computing is transforming claims processing:

Enables Organizational Optimization

Cloud technology enables self-insured organizations to operate in a way that is not possible with on-premise solutions. Rather than every reporting party adding more claims management responsibilities to a site manager’s workload, cloud technology allows many sites to delegate tasks to the claims adjusters.

When claims-related tasks are seamlessly assigned to the right people, organizations can process more claims without hiring additional staff or taking site managers away from customers and projects. They can envision and incorporate ways to use cloud-based tools to streamline claims management, and ultimately, they can scale faster.

Facilitates Access to Real-Time Data

Self-insured organizations, insurance carriers and Third Party Administrators (TPAs) handle vast quantities of data to process claims, analyze trends and make informed decisions. This data may be stored in databases as part of a legacy system.

The term “legacy system” often refers to outdated hardware or software applications that a company relies on daily. Typically, legacy systems are no longer available for purchase or can no longer receive updates. They may also struggle to handle large data volumes or integrate with external systems efficiently. Without the ability to integrate with new systems and applications, legacy systems maintain siloed databases and hinder efficient workflow.

An alternative is to migrate data and applications to the cloud. Cloud computing outshines legacy systems when it comes to accurate data capture because it enables access to real-time data. Self-insured companies rely on cloud solutions to easily access and share real-time data across departments.

A simple flow of data allows organizations to make informed decisions quickly to mitigate risk, enhance collaboration between teams and prevent errors related to manual data entry. It also enables self-insured organizations to keep employees updated on claim status. For example, our cloud-based claims management solution, Cloud Claims, provides real-time updates on claim status, fostering increased employee satisfaction.

Considering the advantages of real-time data access, it is no surprise that most businesses aspired to have 80 percent of IT-hosting dollars go to the cloud in a 2021 report.

Increases Claims Management Efficiency

Efficiency is the driving force behind successful businesses because it saves time, resources and money while improving customer satisfaction. The same idea applies to claims management. Efficient claims management allows a self-insured business to maximize its time and resources and improve employee morale.

Thanks to cloud-based claims processing solutions, self-insured businesses no longer need to wade through paperwork or get lost in data siloes. Cloud solutions have transformed traditionally sluggish processes into streamlined operations. Here are some of the ways cloud-based software boosts claims management efficiency:

• Access data anywhere: As long as the users have an internet connection, they can access cloud-based claims management software from a mobile device. This allows companies to initiate risk management actions at the first notice of loss (FNOL) before a claim is even filed.
• Store data in a centralized location: Cloud-based solutions seamlessly integrate with many types of internal and external software, allowing organizations to keep all data related to claims and incidents in a centralized location. This provides a complete picture of an organization’s risk and claims management health.
• Easily collaborate with stakeholders: With the ability to centralize data, cloud-based software can provide a single source of truth. This capability means it is much easier to prevent data silos and miscommunication and simplify collaboration among stakeholders.

Cloud Claims also offers additional efficiency-related advantages, as it:

• Enables self-insured companies to create multiple claims from a single incident.
• Makes it easy to capture FNOL data remotely and quickly report incidents using customizable fields.
• Provides automation features, like triggered email notifications, to save time and keep stakeholders informed.

Reduces the Need for On-Premise Infrastructure

On-premise infrastructure requires organizations to keep servers, storage devices and networking equipment on-site. It also requires resources, like time, money and employees to maintain the systems.

Migrating claims management to the cloud reduces the need for on-premise servers, decreasing costs related to keeping and maintaining hardware. According to Nucleus Research, companies see a $3.43 return for every dollar spent on cloud migration. So, while some businesses are hesitant to invest in cloud migration, many recognize that the cloud brings a higher ROI than on-premise solutions.

Adopting cloud-based claims management software can be a quick and painless process, depending on the vendor and type of cloud computing model you choose. Cloud Claims, for example, is a software-as-a-service (SaaS) platform. This means we handle everything related to software maintenance, including implementing automatic updates and offering unlimited tech support.

Promotes Easy Scalability

A business that utilizes scalable resources is equipped to handle rapid growth efficiently. For self-insured organizations, a scalable claims management system is part of that equation.

Some cloud-based claims processing software, like Cloud Claims, are highly scalable due to built-in features such as unlimited storage and customizable templates. Overall, cloud-based software is more flexible than on-premise solutions and allows self-insured companies to scale up or down to meet changing needs.

Simplifies MMSEA Section 111 Compliance

Cloud computing is not just helping self-insured businesses transform how they process claims — it is also revolutionizing how they comply with MMSEA Section 111.

Organizations that make payments to Medicare beneficiaries must comply with reporting requirements under Section 111 of the Medicare, Medicaid and SCHIP Extension Act of 2007. MMSEA Section 111 reporting can be complex, as it may involve establishing a secure electronic data exchange, collecting detailed information about each claimant and submitting detailed reports. Failure to comply with MMSEA Section 111 reporting can lead to hefty fines.

Fortunately, cloud-based claims management solutions can simplify MMSEA Section 111 compliance by:

• Allowing your organization to collect, store and access the required documentation easily.
• Automatically providing a secure data exchange.
• Reducing human error by decreasing the need for manual processes.

Additionally, your cloud software provider may keep you updated on compliance changes so you do not have to invest too much time in monitoring updates.

We offer MIR Express™️ , a purpose-built, cloud-based solution for Section 111 reporting. To ensure reporting accuracy, MIR Express™ features automated monthly and quarterly reporting submissions and a data pre-validation acceptance rate of 99.9 percent. We keep the product up to date to ensure compliance with MMSEA Section 111.

Choose Cloud Claims to Transform How You Manage Claims

With its ability to increase efficiency, scalability and cost savings, cloud-based claims management software is here to stay. Furthermore, adopting a cloud-based solution can be smooth and hassle-free with the right provider.

For example, Cloud Claims integration and training is a quick process. In some cases, we can have Cloud Claims up and running in a day. We have a 100 percent successful implementation rate, and we will tailor onboarding to your organization’s needs to ensure you feel confident using our SaaS solution.

Ready to learn more? Contact us today to speak with a consultant and schedule a Demo customized to your organization.

Your organization’s risk management information system (RMIS) collects and stores incident data, enabling efficient root cause analysis. It allows your company to make quick, informed decisions and take action to prevent future incidents.

While a scalable, customizable and intuitive RMIS can help your company manage risk effectively and reduce claim costs, a limited system can lead to inefficiencies and delayed decision-making — ultimately affecting risk mitigation. With that in mind, it is worth considering if your current RMIS meets your organization’s needs.

The following are signs that it is time to switch to a new risk management information system:

1. Limited Configuration Capabilities

Your industry has unique inherent risks and risk management requirements. Your RMIS should be flexible enough to adapt to your company’s needs, regardless of your industry. In other words, you should not have to adapt your processes to accommodate your RMIS. If your current RMIS does not allow customization, or if it is too difficult to customize anything within your RMIS, it is probably time to consider a more adaptable, easy-to-use alternative.

A configurable RMIS allows you to tailor forms, fields, templates, dashboards and reports to save employees time and help prevent inaccurate data entry. For example, you should be able to customize fields and drop-downs within an incident report to suit your organization and streamline form completion.

It is also worth considering a new RMIS if you do not own configuration capabilities and must work with a developer to make customized changes. Choose an RMIS that is configurable out of the box and save your company the cost of working with a developer.

2. Scalability Issues

As your business grows, your risk management needs will evolve. You may need to add new users to your RMIS, integrate with different systems or manage a greater data volume. Your RMIS should support your processes as your organization expands — not be an obstacle. If your RMIS struggles to process or store increased data or limits user access, it may be time for a change.

Similarly, if your current system does not enable you to attach files in various formats or upload claim documentation like incident-related photos or videos, it may be challenging to track and monitor a larger number of claims. Choosing an RMIS with unlimited data storage allows you to keep all of the key pieces of information needed for root cause analysis, no matter the size of your organization.

3.  Poor User Experience

User experience encompasses how your employees interact with your RMIS, as well as how they feel about it. A RMIS with a poorly designed interface, for example, can lead to user frustration or disengagement. By contrast, an intuitive, easy-to-navigate RMIS streamlines productivity, engages users and encourages them to use the system.

If management or other employees have avoided adopting your current RMIS, consider if your current system is user-friendly. Employees may not know how to use your RMIS or have found another, potentially inefficient, way to store and access risk management data. When considering a new RMIS, ensure it offers a positive user experience and is easy to navigate.

Your RMIS should smoothly integrate into your employees’ workflows and help them save time on claims and risk management processes. Employees should also feel confident when they log onto your system and understand how to use it quickly.

4. Inadequate Reporting and Analytics

One of the advantages of a well-rounded RMIS is being able to generate custom reports and utilize visualization tools, like graphs, to analyze data and make informed decisions quickly. It is worth evaluating your current system’s functionalities and considering if it has sufficient reporting and analytics tools to support your company’s goals.

In your evaluation, consider the quality of data you can access with your RMIS. If data, like claim codes, are outdated and challenging to modify, it may be difficult to generate accurate reports. Likewise, if you are unable to integrate with the insurance carrier and third-party administrator (TPA) systems, you may need to re-key financial data, increasing the chance of data entry errors and inaccurate reporting.

A solution would be to replace an outdated legacy system with new, comprehensive software that reduces the need for data re-entry.

5. Integration and Compatibility Issues

As mentioned above, if your current system requires employees to re-key information due to integration issues, you increase the chance of data entry errors and inaccurate reports. Accurate data is crucial to making decisions that will benefit your organization, such as deciding to implement a specific risk management technique.

It is also important that your RMIS promotes accurate and thorough data capture at the first notice of loss (FNOL). The key to accurate FNOL data is to quickly capture event details and enter the information directly into an RMIS. If your current RMIS lacks compatibility with other devices, it hinders the ability to input FNOL as soon as possible.

You can reduce data entry errors by choosing a cloud-based RMIS that seamlessly integrates with stakeholders’ systems and is mobile-device compatible. That way, claims adjusters can gather data at the site of the incident and enter it directly into your RMIS from their phone or tablet. With integration capabilities, stakeholders can easily access FNOL details and incident reports and respond promptly to the event.

6. Security and Compliance Concerns

A RMIS contains sensitive information, from personally identifiable information to company financial data. If you have any concerns about your system’s data security, it may be a sign you need a new RMIS. A data breach can harm an organization’s reputation and lead to regulatory fines and financial loss. According to IBM’s Cost of a Data Breach Report 2023, each data breach costs organizations an average of over $4 million.

A secure RMIS will protect your company’s data and ensure compliance with federal and state data protection laws. If you are searching for a new RMIS vendor, choose a vendor that can provide a SOC 2 Type II compliance report, as this demonstrates that its software has internal controls to adhere to privacy, security, processing integrity, confidentiality and data availability principles.

Consider Cloud Claims by APP Tech

A reliable RMIS that streamlines claim processing and helps your company identify and reduce risks can positively impact your bottom line and employee morale. If your current system no longer meets your organization’s needs, consider Cloud Claims.

Cloud Claim is our claims-focused risk management information system designed for self-insured businesses seeking comprehensive, user-friendly cloud-based software. Cloud Claims empowers organizations to promptly identify risks, take corrective actions and decrease claims costs.

With its incident-based architecture, Cloud Claims promotes accurate, streamlined data capture at FNOL. Users can customize FNOL fields and enter incident information, including uploading photos and videos, directly into their system from their mobile device — before there is even a claim. Cloud Claims allows you to:

• Seamlessly integrate with TPA, insurance carriers, human resources and accounting systems.
• Manage, track and process all claims within a single system.
• Automate stakeholder communications and employee workflows.
• Generate customizable and ready-to-go reports to gain insights and comply with regulations.
• Easily scale as your company grows.
• Feel confident about data security and compliance with Soc 2 Type II certification.
• Access tailored onboarding for quick deployment and a 100 percent successful implementation rate.

Contact us today to learn more about Cloud Claims or request a demo.