Federato, the AI-native platform for the full policy lifecycle, today launched Federato Claims, an end-to-end claims management system built on the same foundation as underwriting, policy administration, and billing.

It captures coverage decisions, reserve movement, and claim reasoning as structured signals and feeds them back into underwriting, pricing, and product while the claim is still open. That real-time feedback loop is possible because Federato Claims was built from the ground up on the same AI-native platform and federated context graph as the other parts of the policy lifecycle.

This shared architecture keeps claims connected to the rest of the business, carries context across every interaction and handoff, and prevents customers from having to repeat themselves. Combined with deeply embedded AI-native automation, it creates a more efficient claims operation and a smoother policyholder experience.

“Claims is the one place in the policy lifecycle where you find out if your underwriting was right,” said William Steenbergen, co-founder and chief technology officer at Federato. “In a world where AI agents are accelerating underwriting decisions, it is critical to systematically capture the feedback loop between claims and underwriting. Every other legacy system treats that discovery as the end of the file. We built Federato Claims to treat it as the start of the next decision: the reserve you adjust, the appetite you tighten, the policy form you fix before the next renewal.”

Claims account for up to 80% of an insurer’s costs, and few functions carry as much influence over loss ratio and margin.

Yet claims is also the stage of the policy lifecycle where carriers have historically had the least visibility into their own decisions. Rising severity, unpredictable catastrophe activity, and litigation and social inflation are pushing loss costs in directions carriers did not model for, and claims is often where the next loss trend shows up first.

Legacy claims systems were built to record decisions, but they don’t connect claims to the risk, policy, and underwriting context behind the loss. They also don’t give insurers the real-time insight they need to improve decision quality and steer portfolio strategy.

Bolt-on AI can summarize information, draft correspondence and suggest next steps inside the same claim-level view. That’s better than nothing, but it only goes so far: the system gets a little bit faster, but it never gets any smarter.

While it makes individual tasks faster, it doesn’t capture the reasoning behind each coverage decision or the patterns forming across open claims. As a result, claims leaders can’t correct inconsistent decisions before they become paid loss, and underwriting doesn’t see signals to sharpen risk selection, pricing, or product strategy.

Federato Claims closes the loop by connecting what happens inside each claim back to the decisions that shape the book.

Coverage activity, reserve movement, and claim reasoning are captured in real time, exposing where decisions are becoming inconsistent, a clause is generating repeat disputes, or reserve changes and overrides are clustering across the book. With that context, leaders can act before emerging patterns become loss ratio problems. The business learns from every claim instead of just closing it out. That creates a direct path from claims signal to business action:

  • If a clause keeps generating disputes, product can rewrite the form in the same system before more policies go out with it, cutting off future disputes and litigation before they start.

  • If a segment that looked fine at bind starts showing early severity pressure, underwriting can tighten appetite or add new business conditions before that pressure hits the loss ratio.

  • When reserves run consistently over estimate, pricing can adjust the rate on that segment at the next renewal instead of absorbing the surprise a year later.

Alongside that real-time feedback loop, Federato Claims facilitates the running of an entire claim, from first notice of loss through payment, inside one system. An AI agent guides FNOL intake, captures structured facts, and identifies missing information before the claim reaches an adjuster, so no one has to repeat themselves as the claim moves forward. As new facts come in, Federato checks them against the applicable policy language and surfaces missing information, ambiguity, or concerns for the adjuster to review.

The system maintains an audit trail without requiring multiple, stitched-together tools and captures the rationale and policy language behind every coverage decision.

Brokers and policyholders can check a claim’s stage and outstanding items in their own portal instead of calling the adjuster for updates. Together, these capabilities help claims teams move each file forward with fewer missed issues, less rework, and more consistent decisions.

The difference shows up on the P&L. As coverage decisions stay consistent, leakage drops and combined ratio improves. As claims insights feed back into what underwriting writes and how rates are set, margin compounds over time.

Federato Claims is available today both as an addition to the Federato platform for existing customers and as a standalone entry point for carriers not yet running Federato. Learn more here.

About Federato

Federato is the only AI-native platform that spans the full policy lifecycle and changes the way insurance work gets done. It replaces legacy policy administration systems with AI capabilities built in to insurers’ workflows, not bolted on. Its proven agentic AI conducts complex analyses with depth and rigor, freeing up insurers’ human capital to focus on nuanced decisions and relationships. Federato is the independent alternative to legacy systems that enables better business outcomes.

Learn more at federato.ai.

Frequently asked questions

What does Federato Claims actually do?

It runs an entire claim in one system, from first notice of loss through payment, and turns every coverage decision, reserve change, and adjuster note into a structured signal. Those signals feed back into underwriting, pricing, and product in real time, instead of sitting in a claims file until the next quarterly report.

How is this different from other claims automation tools?

Most claims tools focus on moving a claim through its workflow faster: routing tasks, extracting documents, flagging next steps. Federato Claims does that too, but it also captures why each coverage decision was made and feeds that reasoning back into the rest of the business. Speed without that context still leaves carriers guessing at what is actually driving their loss ratio. Other tools make the system a little faster. Federato Claims makes the business smarter.

Who is Federato Claims built for?

The product targets chief executives, chief operating officers, and chief claims officers at Tier 2 through Tier 4 P&C carriers in the United States that manage and administer claims in-house. It is available as an addition to the Federato platform or as a standalone starting point for carriers new to Federato.

Why does this matter for the insurance industry right now?

Claims account for up to 80% of an insurer’s costs, yet most claims systems still treat the claim as the end of the story rather than a data source for the next underwriting decision. As carriers face pressure on combined ratios and reinsurance costs, catching drift while a claim is still open, rather than after it closes, becomes a portfolio-level advantage, not just a claims department improvement.

Does this mean Federato is now a claims platform instead of an underwriting platform?

No. Claims is part of Federato’s full policy lifecycle platform, all built on the same AI-native architecture. As of 2025, 88% of new Federato customers signed on for full policy lifecycle management rather than a single stage, and Claims extends that same model.

What happens to the data Federato Claims captures?

Every fact captured during a claim, whether from a phone call, an email, a portal submission, or an adjuster’s note, is stored once and carried forward automatically to the next step in that claim and to the underwriting and product teams evaluating the broader book. Carriers keep a full audit trail without manually reconciling separate systems.

Is Federato Claims live with any carriers today?

Federato Claims is available to select customers starting August 4, 2026. Federato will share customer results as carriers complete implementation.

Isn’t this just another AI claims tool riding the AI hype cycle?

No. Most AI in claims today summarizes documents, drafts correspondence, or adds a chatbot on top of an existing workflow. Federato Claims is different because AI is built into the decision infrastructure of the platform, not bolted on top. The platform analyzes coverage decisions against policy language and claim facts, then captures the rationale, citations, and adjuster overrides as structured decisions to create a permanent record. Those structured signals create a real-time feedback loop across the full policy lifecycle, helping leaders improve decision quality, identify coverage drift, and act on portfolio drift before it shows up as claims leakage, reserve volatility, or loss ratio pressure.

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