Colossus is the market leader in bodily injury claims-handling software. Colossus, according to CSC spokesperson Marian Kelley, is used by more than 50 percent of the nation's claims adjusters and by 38 agencies that represent more than 300 insurance companies. To use Colossus, an adjuster inputs data about a claim and Colossus calculates a range of values for the claim's worth. The Colossus program can evaluate more than 600 injuries, according to Kelley. A broken arm, pinched nerve, strained back, bruised ribs, and torn muscles from an auto accident are examples of injuries for which Colossus will produce a suggested settlement price.
Adjusters then offer to settle a policyholder's claim based on the Colossus calculation.
Insurance companies say that while adjusters are required to use Colossus, they're not required to settle within the suggested Colossus calculations. Colossus is just a guideline for their adjusters, insurers say. The main value of Colossus is that it provides consistent estimates of injury costs. Insurance company claims adjusters have varying degrees of knowledge and experience, which can lead to varying judgments in the value of claims. Casualty Co. That freshness can influence the evaluation of a new claim, causing an adjuster to pay too much or too little, Smith says.