Automate First Notice of Loss with AI call

For insurance providers, First Notice of Loss (FNOL) isn’t just the start of the claims process, it’s the moment that sets the tone for the entire customer experience.

And the numbers speak for themselves.

• 68% of policyholders say that the FNOL experience directly impacts their satisfaction with the entire claim.
• 86% report high satisfaction when they only have to share their details once. But that satisfaction drops to just 7% when they’re forced to repeat their story six or more times.
• What’s more, 72% of customers say being able to share photos or videos during FNOL significantly improves the process to enable faster verification and resolution.

The takeaway?

A smooth, efficient FNOL experience can drive higher satisfaction, improve retention, and reduce cycle times. But when it’s delayed, disconnected, or overly manual, it ends up creating friction, frustration, and unnecessary overhead.

In this blog, we’ll explore what FNOL means, why it’s a critical point in the claims lifecycle, how AI-powered voice call automation can streamline the entire process and how it can help your teams capture, validate, and act on loss reports faster and with fewer errors.

What is the First Notice of Loss?

Let’s say a customer’s car gets rear-ended.

What’s the first thing they’re likely to do after ensuring everyone’s safe?

They’ll reach out to their insurer. And that very first contact. It can be through a call, an app, or a chatbot and this is what we refer to as the First Notice of Loss, or FNOL.

But what exactly does FNOL involve?

At its core, FNOL is the first step in the insurance claims process. It’s when a policyholder reports an incident like a car accident, property damage, or a health-related event to provide the initial set of details:

• What happened,
• When,
• Where,
• And how.

Think of it as the foundation.

The more accurate and complete this first report is, the smoother the rest of the claims journey can be.

But here’s the catch:
Is your FNOL process easy, quick, and available 24/7?
Or is it still stuck behind long wait times, endless forms, or repeated information requests?

Because for your customers, that first interaction isn’t just about starting a claim. It’s about feeling heard, supported, and reassured. For your business, it’s a critical moment to gather clean data, triage efficiently, and prevent downstream delays.

So yes, FNOL might seem like a single step but get it right, and you set the tone for the entire claims experience. Get it wrong, and you risk damaging trust before you’ve even had a chance to help.

How a First Notice of Loss Works?

So, how does FNOL actually unfold in practice?

Let’s walk through a typical scenario.

A policyholder has just experienced an incident—maybe a car accident or a burst pipe at home. What do they do next?

They reach out to their insurer to report it. This is where the FNOL process begins.

But what happens on your end?

When that first report comes in—whether via phone, mobile app, website, or chatbot—your claims system swings into action. The goal?

Capture all essential details quickly, accurately, and with minimal friction.

This typically includes:

• Policyholder’s name and policy number
• Date and time of the incident
• Description of the loss or damage
• Photos, videos, or supporting documents
• Any other parties involved

Sounds straightforward, right? But here’s the challenge…

If the customer has to switch channels, repeat details, or wait to speak to an agent, that initial experience becomes frustrating—fast. And every extra step adds time, cost, and complexity to your operations.

Now ask yourself this:
Is your current FNOL flow manual, disjointed, or slow?
Or are you making it easy for customers to share everything in one go?

Let’s understand the challenges in current FNOL processes.

What is Required for an FNOL?

You’ve got the call, the app ping, or the chatbot query—so what’s next?

To process a First Notice of Loss effectively, insurers need complete and accurate data right at the start. But getting that information isn’t always easy—especially if the policyholder is stressed, confused, or unsure what to provide.

So, what exactly is required during FNOL?

Here’s a checklist of typical information:

• Policyholder details: Name, policy number, and contact information.
• Incident details: Date, time, and location of the event.
• Description of the loss: What happened? How did it happen? Was anyone else involved?
• Supporting documentation: Photos, videos, police reports, receipts—anything that adds credibility to the claim.
• Third-party information (if applicable): Names and insurance details of other parties involved.
• Immediate action taken: Has a repair already been initiated? Was emergency assistance required?

But here’s the thing — collecting this information manually, or over multiple interactions, leads to duplication and errors. Worse, it increases the chance of delays and dissatisfaction.

That’s why many insurers are now turning to AI-powered voice and chat agents that can:

• Prompt users for the right details in real time
• Auto-fill known data using backend integrations
• Validate policy coverage instantly
• Capture and store documents on the spot

When you streamline data capture during FNOL, you not only speed up resolution—you start building trust from the very first interaction.

Outcomes Following the FNOL

So the FNOL has been submitted. What happens next?

This is the turning point—the moment where your systems and processes take over to evaluate, triage, and act on the information collected.

Here are the typical outcomes once FNOL is completed:

1. Claim Acknowledgement

The customer receives confirmation that their claim has been registered. This should ideally happen instantly—either via SMS, email, or in-app notifications.

2. Triage and Routing

Based on the nature and complexity of the claim, it’s routed to the right team—be it fast-track processing for minor incidents or further investigation for high-value claims. Some insurers use AI to auto-triage based on predefined workflows.

3. Assignment of Adjusters or Agents

If the claim requires inspection, an adjuster is assigned. For simpler claims, automation might be able to move it straight to settlement.

4. Communication with the Policyholder

This includes timelines, next steps, or any documentation still needed. Clear, proactive communication is key to keeping customer satisfaction high.

5. Initiation of the Claims Process

Once the FNOL is accepted, the formal claims process begins. From there, it’s about verification, assessment, and settlement.

Now, imagine if all of this was kicked off in minutes rather than days—without repeated calls, long hold times, or paperwork. That’s the promise of AI-powered FNOL automation.

Because when the transition from “incident reported” to “claim in motion” happens quickly, you don’t just reduce cycle times—you turn a potentially stressful moment into a surprisingly smooth experience.

Challenges in the Current FNOL Processes

Let’s be honest—First Notice of Loss sounds simple on paper.

But in reality?

It’s often anything but.

So what’s holding insurers back from delivering a seamless FNOL experience?

Let’s break down the common roadblocks.

1. Fragmented Channels

A customer might start on your website, switch to a phone call, and end up on your mobile app. Every channel shift increases the risk of miscommunication or data loss. Worse, it frustrates customers who are already dealing with a stressful situation.

Ever heard the phrase, “I’ve already told this to the last person I spoke to”? That’s exactly what customers hate—and exactly what insurers need to avoid.

2. Repetitive Data Collection

Policyholders are often asked to repeat the same information multiple times—policy number, date of incident, location, and more. In fact, as shared earlier, only 7% of people were satisfied with their claim experience when they had to repeat their details six or more times. That number jumps to 86% when they only had to do it once.

That’s a big gap—and a big opportunity.

3. Manual Processes and Paper Trails

Traditional FNOL often involves paperwork, phone scripts, or call centre agents manually entering data into systems. It’s slow, error-prone, and hard to scale—especially during peak seasons like natural disasters or holidays.

Plus, every manual handoff increases the chance of delays and inaccuracies, which can impact both speed and trust.

4. Delayed Claims Initiation

A delay at FNOL is a delay across the entire claim lifecycle. If it takes hours or even days to initiate the process, it slows down triage, assessment, and ultimately, settlement. That’s not just an operational issue—it’s a reputational risk.

5. Limited Context and Real-Time Insights

When FNOL is treated as a static form submission, insurers lose the opportunity to gather rich, contextual insights—like photos, videos, or real-time location data—that can fast-track validation and improve fraud detection.

So, the question becomes:

Is your FNOL process helping or hindering your claims journey?

Because at a time when customers expect instant responses and 24/7 availability, a clunky FNOL experience can seriously hurt satisfaction—and your bottom line.

Next, let’s explore how automation and AI-driven FNOL can turn these challenges into clear advantages. But let’s deep dive into the difference between manual FNOL and AI-automated FNOL.

Difference Between Manual FNOL and AI Automated FNOL

How to Automate FNOL with Gen AI Voice Calls

We’ve talked about how the First Notice of Loss sets the tone for the entire claims journey. But if your FNOL process is still manual, disconnected, or tied up in long call queues — here’s the real question:

Is it helping you build trust — or causing friction from the start?

Customers today expect support the moment they need it — no matter the time of day, no matter the channel. That’s exactly where Generative AI Voice Agents come in.

Imagine a policyholder has just been in a minor car accident. It’s 11:30 pm. They’re shaken, unsure what to do, and they call your FNOL hotline. Instead of being placed on hold or routed through IVRs, they’re greeted instantly by an AI-powered voice agent.

What happens next?

It starts with smart identification

The AI agent recognises the caller’s number, asks for basic verification, and pulls up the right policy. No repeats. No delays. Just context-aware support from the first “Hello.”

Then comes intelligent information gathering

In a calm, human-like tone, the agent asks relevant questions:

• “Could you describe what happened?”
• “Where did the incident take place?”
• “Was anyone injured?”
• “Do you have photos or documents to share?”

Unlike traditional calls, the Gen AI agent understands natural responses, extracts structured data on the fly, and knows when to probe deeper — just like your top-performing human agents.

Supporting documents?

No problem

The voice agent can send a secure SMS link where customers can upload images, videos, or documents. Using OCR and real-time integrations with your backend, the agent can validate details instantly — no back-and-forth needed.

Real-time form filling and triage

As the conversation unfolds, the AI automatically populates FNOL forms, validates claim details, flags any risks, and even triggers next steps like assigning an adjuster or sending confirmations — all in the background.

And finally, instant closure

Before the call ends, the agent shares the claim ID, next steps, and sends a follow-up summary via SMS or email — leaving the customer informed, reassured, and supported.

Why FNOL Automation matters?

Automating FNOL with Gen AI voice calls doesn’t just make your team more efficient. It creates a frictionless, empathetic, and fast experience for customers — even during high-stress moments.

• Claims get initiated 70% faster
• Repetitive tasks are handled without human intervention
• Agents focus on complex cases, not data collection
• Customers get 24/7 support, with no drop in quality

And when you use a platform like Verloop.io, you’re not just automating with generic AI. You’re deploying domain-trained voice agents, customised to your workflows, compliance needs, and customer expectations.

So yes, FNOL can still be that trust-building moment.

But with Gen AI voice calls, it can also be faster, sharper, and always on.

How Verloop.io Can Help Automate FNOL for Insurance Providers

At this point, you’re probably thinking — “Okay, Gen AI voice automation sounds great, but how do I actually implement this in my FNOL process?”

That’s where Verloop.io comes in.

We’re not just a conversational AI platform — we’re your partner in transforming the way you handle insurance claims, starting right from the First Notice of Loss.

Here’s how Verloop.io helps insurance providers like you automate FNOL — with accuracy, speed, and empathy:

1. AI-Powered Voice Agents Trained for Insurance Use Cases

Our Gen AI Voice Agents are purpose-built for insurance workflows. From policy verification to structured data capture, they don’t just talk — they understand.

No robotic scripts. Just natural, human-like conversations that guide policyholders through FNOL smoothly, even during stressful situations.

2. Real-Time Document Verification with OCR

Your customer uploads a photo of the accident? Or a scanned police report? Verloop.io’s OCR capability extracts and verifies key information instantly — reducing back-and-forth and manual review time.

3. Integrated with Your Backend Systems

We integrate directly with your claims management systems and policy databases — so every conversation is powered by real-time data.

This means:

• No repeated questions
• Smart routing to the right claim process
• Immediate case ID generation and notifications

4. 24/7 Intelligent Automation with Escalation Logic

FNOL events don’t follow working hours. Verloop.io’s AI Agents operate round the clock, collecting and validating incident data, triggering claim flows, and handing off to human agents when needed — based on predefined logic.

Your customers feel heard and helped — every single time.

5. Analytics That Go Beyond Just Volume

We give you deep visibility into:

• FNOL call handling time
• Common pain points during reporting
• Agent handoff reasons
• CSAT impact of AI-assisted FNOL calls

These insights let you refine your workflows and keep improving the experience.

The Outcome?

✅ Up to 70% reduction in claim initiation time
✅ Fewer errors and escalations
✅ Better straight-through processing (STP) rates
✅ Higher customer satisfaction — right from the first call

With Verloop.io, FNOL becomes more than just a process — it becomes a proactive, data-backed touchpoint that strengthens trust and speeds up settlements.

Want to see how this works in your setup?

Schedule a demo today →

FAQs

1. What is First Notice of Loss (FNOL)?
FNOL is the first report made by a policyholder to their insurer after an incident, starting the claims process.

2. Why is FNOL important in insurance?
It sets the tone for the entire claims experience—speed, accuracy, and ease during FNOL heavily influence customer satisfaction.

3. What challenges do insurers face with manual FNOL?
Manual FNOL is often slow, error-prone, limited to working hours, and frustrating for customers who may need to repeat information.

4. How does AI voice automation improve FNOL?
AI voice agents can capture claim details instantly, verify documents, and initiate workflows 24/7—cutting processing time and cost.

5. How can Verloop.io help with automating FNOL?
Verloop.io’s AI Voice Agents can automate the entire FNOL flow—capturing details, validating policies, and triggering next steps in real-time.