Case Study

Multi-State Disaster Recovery - New Orleans Deepwater Horizon Economic Claims Center: Reinventing and streamlining a massive claims process

  • Built a new claims management system for the largest class action lawsuit of all time

  • Integrated 12 external systems, four major vendors, and thousands of claims already in progress.

  • Processed more than $10 billion in claims

“The way Pega handles complexity, scale, and change was critical to the success of our systems. With 500-plus major rule changes, it was essential we have a platform that allowed us to quickly and easily make changes.”

Christopher Reade CIO , Deepwater Horizon Economic Claims Center

The Business Issue

The Deepwater Horizon oil spill in 2010 was the largest marine oil spill in history, releasing crude oil into the Gulf of Mexico and leaving businesses and citizens in economic and ecological hardship. The resulting Deepwater Horizon Economic Claims Center (DHECC) settlement provided compensation to claimants across the Gulf South and beyond.

By 2012, hundreds of thousands of claims had been filed and the process had come under widespread criticism for lack of speed, transparency, and accuracy.

The Solution

DHECC partnered with Pega to create a new claims management system, fully customizing Pega’s business process management framework, integrating the workflow with fraud analytics, a complete lifecycle and ticketing system, and change control processes.

Since DHECC first began the claims process, there had been more that 500 changes to rules and policies around claims handling. Because Pega automatically updates and documents every instance where a change has an impact, with no need for manual coding, DHECC has been able to incorporate ongoing changes.

The Results

  • More than $10 billion paid claims
  • Since 2012, processed more than 500,000 claims
  • DHECC’s new claims system has significantly increased efficiency and reduced the time from claim submission to resolution, while complying with all legal and security requirements.
  • On an average day, tens of thousands of users access the claims application, including thousands of attorneys, unrepresented claimants, the oil company itself, class counsel, and approximately 2,000 reviewers.
  • DHECC has processed claims from hundreds of countries, all 50 states, and multiple industries, consisting of more than 20 million documents.

Read the full article in Governments Building for Change.

All text sourced directly from Governments Building for Change.

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Tags

  • Industry Group: Government
  • Product Area: Platform
  • Challenge: Legacy System Innovation
  • Challenge: Operational Excellence