Claim Performance Metrics That Actually Matter: Cycle Time, Savings, and Supplement Ratio

Every TPA claims to have “industry-leading results.”

But when you look closer, most performance reports are full of vanity metrics that don’t actually impact the client’s bottom line.

In trucking and heavy equipment claims, three numbers tell the real story: cycle time, savings, and supplement ratio.

These metrics determine how fast you recover assets, how much money you keep, and how efficiently your claims process actually runs.

At Veritas Claims, we measure performance by these outcomes, not by noise.

Why most TPAs measure the wrong things

It’s easy to create a dashboard full of nice-looking numbers: number of files closed, total estimates written, total appraisals completed, etc.

But none of those metrics prove real value. They only prove that work was done, not how well it was done.

True performance measurement asks:

• How fast was the claim resolved?

• How much did we save the client?

• How accurate was the first report?

That’s where cycle time, savings, and supplement ratio become the foundation for performance accountability.

1. Cycle Time: The speed of resolution

Definition:
Cycle time measures the number of days from assignment to completed appraisal or claim resolution.

Why it matters:
Every extra day a vehicle or piece of equipment sits in a yard means storage fees, delayed subrogation, and frustrated clients. Fast doesn’t just mean efficient; it means profitable.

Industry average: ~10 days for heavy equipment claims
Veritas average: 7 days nationwide

What makes the difference:

• Integrated processes: Appraisal, towing, and cargo handled concurrently; not sequentially.

• Real-time communication: Clients always know claim status, eliminating back-and-forth delays.

• Expertise: Specialists familiar with the asset type complete accurate appraisals the first time.

A three-day improvement in cycle time can save thousands per file in storage and opportunity costs.

2. Savings: The cost containment that pays for itself

Definition:
Savings represent the reduction in claim costs achieved through negotiation, efficiency, and accurate appraisal, especially in towing and storage.

Why it matters:
In trucking, a single tow bill can exceed $40,000. Reducing those costs by even 10–15% creates tangible, documented ROI for the carrier.

Veritas average savings: ~15% per file, verified through monthly client reporting.

Top individual savings: over $9 million saved by one specialist in six years.

Where savings come from:

1. Towing and storage negotiation:

   1. Specialists identify inflated or duplicate charges.

   2. Valid costs are paid promptly; invalid ones are challenged with regulatory proof.

2. Accurate appraisals:

   1. Prevent overpayments from missed damage or total loss misclassification.

   2. Capture salvage potential through correct valuation.

3. Efficient logistics:

   1. Coordinating release, transport, and transload to stop per-day fees fast.

Savings aren’t theoretical; they’re measurable, repeatable, and reportable.

3. Supplement Ratio: The accuracy indicator

Definition:
The supplement ratio measures how often a completed file must be reopened due to missed damage or incomplete appraisal.

Why it matters:
Every supplement adds administrative time, additional cost, and cycle delays. A low supplement ratio proves your first reports are accurate and complete.

Industry average: ~35%
Veritas average: ~14%

How Veritas keeps supplements low:

• Specialized expertise: Heavy equipment appraisers know where hidden damage occurs and how to document it.

• Thorough inspections: No “quick estimates” or guesswork reports.

• Cross-team collaboration: Appraisal, towing, and cargo share real-time updates to catch potential gaps early.

A supplement ratio this low doesn’t just show efficiency, it reflects trust. It means clients can rely on our reports to stand up under audit or review.

The compounding effect of performance metrics

Each of these KPIs (cycle time, savings, supplement ratio) feeds the others.

• Faster cycle times prevent new supplements.

• Fewer supplements mean fewer reopened files and shorter overall cycle times.

• Lower costs through better accuracy drive higher client ROI.

It’s not three metrics working in isolation; it’s one performance ecosystem.

How Veritas tracks and reports KPIs

Our approach to reporting is designed for clarity, not complexity. Clients receive monthly performance summaries showing:

These numbers are backed by verifiable case data, not projections or assumptions.

We also provide:

• File-level reporting: Every claim includes documentation of savings, cycle time, and supplement status.

• Client-specific dashboards: Custom reports by region, department, or asset type.

• Annual performance reviews: Detailed analysis of trends and improvement opportunities.

Transparency is built into every report because metrics mean nothing if clients can’t verify them.

The “big TPA” myth: cheaper isn’t better

Large national TPAs often advertise lower per-file costs. But those “savings” evaporate quickly when cycle times stretch to weeks and supplement ratios climb above 30%.

A $100 cheaper rate means nothing if it adds $1,000 in storage fees or delays a $50,000 recovery.

Veritas’ advantage:
We deliver measurable, consistent performance that lowers total claim cost, not just invoice price.

When clients compare true total cost of ownership, the difference is undeniable: faster cycle times, lower reopeners, and documented savings far exceed minor rate differences.

The hidden KPI: communication drives every number

Cycle time, savings, and supplement ratio don’t exist in a vacuum. They all hinge on one less tangible but equally critical metric: communication quality.

Fast updates prevent cycle delays.
Clear instructions reduce supplements.
Transparent reporting builds trust and cooperation.

That’s why Veritas integrates communication benchmarks into every performance review. It’s not just about completing the file, it’s about keeping clients informed every step of the way.

Real-world results: performance in action

A major carrier facing mounting towing bills and delayed appraisals switched to Veritas for a 90-day pilot.

After 100 files, the results were clear:

• Cycle time reduced by 29%.

• Average savings of $3,400 per file.

• Supplement ratio dropped from 31% to 12%.

What started as a short-term test became a long-term partnership and a new performance benchmark for the carrier’s national claims operations.

Final thoughts

Performance in claims management isn’t about how many files you process; it’s about how well your cargo claims management is.

By focusing on the three metrics that truly matter, cycle time, savings, and supplement ratio, Veritas Claims delivers results that outperform the industry average on every front.

Faster claims.
Lower costs.
Fewer reopeners.
Stronger trust.

That’s not marketing, it’s math.

Ready to see how your current TPA stacks up?
We’ll run a side-by-side performance audit of your last 100 claims using real data, not promises, and show exactly where you can save.