Our previous blog discussed the responsibility financial services companies have to manage every aspect of their compliance burden as effectively as they manage any other risk to their enterprise. Another area that should not be ignored in this respect is compliance as it relates to the processing of automotive insurance claims. This is one area where many institutions who service mortgage loans often fall short.
Expert risk managers excel at prioritizing threats and scheduling actions based on those assessments. Because home loans have a much higher balance per transaction than other forms of lending that an institution might be involved in, it is tempting to place a lower priority on automotive claims recovery when managers are deploying their compliance-related resources or allocating budget for expert third-party support.