Streamlining Claims Processing with AI & Agentic Automation

One of Lydonia’s insurance customers had already automated parts of their claims process, but a major bottleneck remained. When a claim didn’t follow the standard path, what’s known as an exception, employees had to step in manually. They searched through multiple systems, tracked down the right policy or contract, and pulled together the data needed to make a decision. This process added up to 41,600 hours of manual work each year — the equivalent of 20 full-time employees. 

To solve this, Lydonia introduced AI & agentic automation. Unlike traditional automation, which follows pre-defined rules, agentic automation is dynamic. It enables agents to independently gather information across systems, understand context, and take appropriate action with minimal human input. 

The agent was quick to deploy and easy to integrate into the existing environment, fully operational in under a week. It immediately began collecting data, evaluating it, and making decisions, reducing the manual effort from 41,600 hours to just 8,320 hours annually. That’s a 5x drop in time spent, freeing up 16 team members to focus on higher value initiatives. 

As the agent continued to demonstrate speed and accuracy, the remaining work became fully automated. Now all 16 team members who were previously responsible for exception claims have been reassigned to drive greater impact to the bottom line, resulting in 1.2 million dollars in annual savings to the organization. It made the work more meaningful and delivered incredible ROI to the customer.