AI is changing the FNOL experience, but the core of claims remains the same. Claims will always be about people before they are about processes. Building real-world empathy in claims handling is key
Every FNOL call represents disruption, stress and uncertainty for the insured. And in a year where catastrophic events became more frequent and call volumes surged,insurers were reminded of a hard truth policyholders don’t care how your call center operates. They care how they were treated.
The latest American Customer Satisfaction Index underscores this shift. Three key measures fell 5 percent across the industry:
• Claims processing speed
• Call center satisfaction
• Agent courtesy and helpfulness
These declines didn’t happen because teams stopped trying. They happened because the empathy gap widened.
Empathy in claims handling is no longer a soft skill
In today’s claims environment, empathy creates measurable business outcomes
• Higher policyholder loyalty
• Stronger NPS and retention
• Fewer escalations and complaints
• Higher first call resolution
• Better agent morale and performance
When empathy is present, frustration defuses, trust strengthens and resolution accelerates. When empathy is absent, even flawless execution can feel disappointing.
The industry has reached a turning point. There’s a reason why discussions of empathy are making their way across keynote stages at recent insurance industry events. Leaders are no longer asking whether empathy matters. They’re focused on how to operationalize it.
Empathy is even more critical in the age of AI
The biggest misconception in claims today is that AI and empathy exist on opposite ends of a spectrum. In reality, AI is often the key that unlocks empathy in claims handling at scale. Empathy must be built into the workflow, not left to chance.
Covenir experienced this firsthand when developing our AI-human hybrid call center solutions. For every technology we evaluated, we applied a simple test:
• Does this make the experience better
• Does it build trust
• Does it preserve empathy
If a technology failed any of those criteria, we didn’t move forward. 
One outcome of this exercise is the Covenir AgentCoach solution, which provides real-time guidance on tone, pacing and empathy during live calls. It doesn’t replace the agent. It supports them, freeing them to focus fully on the caller, especially during difficult emotional moments. The result is a kinder, more confident, more consistent policyholder experience.
Empathy is THE competitive advantage in claims.
If you’d like to see how empathy in claims handling and AI come together inside our call center to deliver experiences that WOW policyholders, visit https://www.covenirbpo.com/ai-services/