Revolutionizing the Insurance Industry with Real-Time PaymentsAuthor, Shams Syed
The use of real-time payments in the insurance industry has significantly improved the efficiency and effectiveness of claims processing and other financial transactions.
With the ability to instantly transfer funds, insurers can now manage claims and other transactions more promptly, leading to increased customer satisfaction and loyalty.
Traditionally, insurance payments could take days or even weeks to process, causing frustration for policyholders and delays in receiving necessary funds. Insurers have the ability to process a claim near instantly based on their criteria and rules but have always faced delays due to the payment infrastructure.
Real-time payments have changed this, allowing insurers to send and receive payments as soon as they are requested . This is particularly beneficial for policyholders who have experienced a loss and need to receive compensation quickly.
In addition to claims processing, real-time payments can also be used for policy premium payments and policyholder refunds . This not only saves time but also reduces the risk of errors or miscommunications.
Real-time payments can also improve the customer experience in the insurance industry.
Policyholders can make and receive payments quickly and easily, leading to increased satisfaction with their insurance company . This can translate to increased customer loyalty and a positive reputation for the insurer.
The insurance industry has been a slow mover in the real-time space due to the long build requirements and internal processes. Once a team has decided to begin a project, it can take months if not years to map the process and integrate it into the existing platform.
AptPay has built its technology stack based on simple APIs for a seamless integration or a white-label portal, which allows the insurer to quickly set up the service and go live for their policyholders.
AptPay enables an insurer with not only an option for real-time payments but ACH/EFT and cheque, a single unified API for all payment methods.
The adoption of real-time payments in the insurance industry is on the rise, with more and more companies turning to this technology to streamline their operations .
In fact, a survey conducted by Accenture found that 72% of insurance executives believe real-time payments will be widely used in their industry within the next three years.
The use of real-time payments in the insurance industry has greatly improved efficiency, customer satisfaction, and the bottom line for insurers.
As the adoption of this technology continues to grow, it is likely that more insurance companies will turn to real-time payments to streamline their operations.
Accenture (2019). Real-Time Payments in Insurance: Meeting the Demands of the Digital Economy.
Fiserv (2021). Real-Time Payments in Insurance: The Future is Now.
International Association of Insurance Supervisors (2020). Real-Time Payments in the Insurance Sector.
Sibos (2020). Real-Time Payments in Insurance: Enhancing the Customer Journey.