Claims Lifecycle Simplified: What to Know in 2025

The claims lifecycle is simply the series of steps an insurance claim goes through, from when it's first reported to when it's fully resolved.

Going a bit deeper, the claims lifecycle involves several stages that work together to make sure claims are handled fairly and efficiently. It begins when a policyholder notices a loss or damage and reports it to their insurance company, called the claims intake.

Then, an adjuster reviews the claim to determine fault and what should be paid out. After that, payments are processed, and finally, the claim is closed. Understanding this process helps everyone involved know what to expect and when, reducing confusion and delays.

To make this clearer, here's a simple breakdown of the main steps in the claims lifecycle:

• Claim reporting: The insured contacts the insurer about a loss

• Claim investigation: An adjuster looks into the details

• Claim decision: Approval or denial of compensation is made

• Claim settlement: Payment or repair arrangements occur

• Claim closure: The case is officially completed

For those who want a more technical view, the claims lifecycle involves multiple systems and teams interacting to manage information accurately and quickly. Data must flow seamlessly between policy management, claims processing, and payment services.

That’s where Strada helps. Strada’s phone AI agents automate much of the early and repetitive work in the claims lifecycle. They can handle claim intake and first notice of loss (FNOL) calls 24/7, capture all relevant details accurately, and sync that data directly into claims management systems.

For example, when a customer reports an accident over the phone, Strada instantly logs the claim, routes it to the right adjuster, and updates all connected systems, without waiting for manual input.

This means fewer delays and a better customer experience throughout the claims lifecycle.