New service will enable clients to bilaterally manage and settle claims seamlessly through a flexible, single point of entry
The Depository Trust & Clearing Corporation (DTCC) confirmed today that its Depository Trust Corporation (DTC) subsidiary has filed with the U.S. Securities and Exchange Commission (SEC) a proposal to launch ClaimConnect, a new DTC service that it says will centralize and automate cash claim processing across the entire lifecycle of a corporate action claim.
According to a statement, DTCC has been working closely with the industry to refresh its technology and to further improve Corporate Actions processes in order to eliminate manual processes and reduce risk and errors from claim submission to closure. With the new ClaimConnect service, DTCC said, they seek to address limitations in Corporate Actions processing related to untracked cash claims. These claims are typically processed manually by large operations teams leveraging fax, email and phone calls.
According to Ann Marie Bria, Executive Director, Corporate Actions Business Management at DTCCWith ClaimConnect, clients will benefit from near real-time claim validation and matching, email alerts and the ability to pinpoint data leveraging intuitive search functionality. Clients will be able to post claims verses their counterparty with the ability to track those claims through to settlement. Both sides of the claim will have access to email notifications, alerting them of claim statuses and reporting to communicate progress, simplifying decision making.
“We’re continuously meeting with our clients to learn more about their evolving internal processes and challenges in order to identify ways we can deliver new and improved services to meet their needs,” said Bria. “Centralizing claim processing through ClaimConnect will enable clients to seamlessly manage the entire lifecycle of a claim while reducing risks,” she added.
Analysts say ClaimConnect will be one of the first services available on DTCC’s new API Marketplace, and that, with ClaimConnect APIs on the DTCC Marketplace, Corporate Actions clients will have direct programmatic access to DTCC processing functionality, allowing clients to automate the process of submitting claims and inquiring about their status.
DTCC said the ClaimConnect service will be launched following SEC approval.