E-Subro Hub, a free, paperless, Web-based electronic communication, document and claim management system designed to streamline the subrogation process, will expand to eight additional states, including New York and New Jersey.

Developed by Arbitration Forums, Inc. E-Subro Hub allows participants in the subrogation process to more efficiently process their subrogation demands and responses and provides performance data, according to the company.

In addition to New York and New Jersey, the product will become available Aug. 2 in Connecticut, Maine, New Hampshire, Rhode Island, Texas and Vermont. By the end of 2010, the E-Subro Hub will be available in more than 20 states.

E-Subro Hub currently operates in California, Delaware, Massachusetts, Maryland, North Carolina, Pennsylvania, Virginia, West Virginia and Washington, D.C. Seven of the nation’s ten largest insurance carriers are using the system. Users of E-Subro Hub are reporting that cases are frequently closed within days as opposed to weeks or months as in the past, according to the company.

“The expansion of E-Subro Hub represents a significant increase in the market dissemination of this cutting-edge subrogation solution,” said W. Russ Smith, AF president and CEO, in a statement. “E-Subro Hub lets carriers and self-insureds manage their subrogation workflow more effectively, reducing subrogation-related expenses and thereby lowering cycle times.”

AF also will introduce a new enhancement to the system on Aug. 2, allowing users to quickly identify if the company receiving its subrogation demand is participating in the E-Subro Hub system and is active in that particular state, further saving time and resources, the company said.

AF said it projects that the E-Subro Hub system rollout will save property-casualty insurance companies and self-insureds hundreds of millions of dollars annually by enabling users to electronically send and receive subrogation claims, attach supporting documents, manage subrogation claims and electronically file intercompany arbitration where necessary.

AF, a not-for-profit organization serving the property-casualty insurance industry, offers  E-Subro Hub at no cost to participants. AF is the nation’s largest arbitration and subrogation services provider, through which its members file more than 520,000 disputes worth nearly $2.5 billion in claims each year.