Is your company still relying on written checks? It is time to digitize the process so your claimants and policyholders alike are getting their money faster.
Experts estimate that written checks will be extinct by 2026, and that goes for the insurance world too. Here are 5 reasons most people are no longer writing checks:
-> Banks like electronic checking because there is a lower risk of fraud. Automatic payments are more predictable. This gives businesses a higher level of certainty that they will get paid.
-> Electronic checks have more security features, such as encryption codes, making them the safer option.
-> Digital payments are faster.
-> Electronic payments are easier from home, and now, most US households own a computer or smart phone, there is no longer a need to mail checks.
-> People expect a digital payment option, and the businesses who don’t have that option will no longer be the top-choice for customers.
Payment is how policies are bound. Until payment is received, there is no transfer of risk or coverage issued. The same goes for processing claims. Claim work cannot begin until payment is issued by the insurance company and MGA and received by whomever is doing the repairs. So again, why are you still writing & mailing paper checks?
-> Keep Customers Longer
-> Reduce Overhead & Overall Costs
-> Minimize Risk & Errors
We all know that a rapid and efficient claims settlement is best for your insurance company as well as the insured. Turnover in the insurance industry is normal, but limiting how many of your insureds leave or keeping them for longer periods of time is key to your ROI and Renewal Retention Rates. Most people don’t know if they love or hate their insurance until they have to use it. Daily customer service is great, but how your team and company and MGA handle the claims process is even more important. Excellent customer service includes getting your insureds claims processed & paid as fast as possible. Think about your insureds getting their check weeks faster or payments posted days faster! The happier your insureds are with the speed of settling their claim, the less likely they will be to shop around at renewal time.
The cost of manually inputting information and writing checks during the claim process is far too time-consuming. Hiring the staff to do it, the cost of materials, etc. is exponential. Why not create a faster and simpler process? Creating a digital payment system that integrates with your company and MGA’s claim process, and the overall policy payment system, is the solution. Noodle Group can make all of that happen thru their customizable API integration software. Get your insureds payments processed faster and their claim checks to them in less time.
With human interaction, overworked and distracted employees comes some level of risk and/or errors. Let automations and digital payment processing minimize your company and MGA’s risk. Limiting risk is what insurance is all about, right? With the right integration solution, gathering information during the claim process, and communicating with your claimant can save time and reduce errors. Not to mention, your insureds will feel valued throughout the entire process.
Identity Verification to prevent Identity Theft is not a new concept. It has been around since the early days of banking and became more nuanced as the financial services industry embraced technology. Though the general concepts of identity verification have remained the same, the execution of those concepts has changed significantly. Not only is the goal to keep your data and your customer's data safe & secure, but it is also crucial that the process is quick, seamless, and a good experience for existing insureds and future customers.
AI is exploding and it is getting a little crazy. Here are four principles or safeguards (I am calling them laws) that we will be using and advising others to use when it comes to leveraging AI technology while protecting their for-profit or non-profit enterprises and systems.
Keeping overhead costs low, providing a quality product or service in a timely manner, turning customers into promoters, and increasing overall profits--these are every business owner's dreams, right? There is a way to help with that dream. It is called digital payments.
