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The Pandemic Has Boosted Mobile Payments – But There’s Still Potential for Insurers to Tap
In this Insurance Customer Journey Blog Series, we’ll discuss why reimagining the customer journey is critical, where the current improvement gaps among insurers lie, and further delve into ways these gaps can be addressed.
Today’s companies and consumers expect digital options in their daily transactions, and insurance claim payments are no exception. Increasingly, insurance carriers are looking to replace costly paper checks with more modern alternatives. And although ACH has been a great initial step into quicker fund transfer, virtual claim payments are fast becoming a smart check replacement because of the additional benefits they offer.
The Telephone Compliance Protection Act (TCPA) was enacted in 1991.The law places restrictions on telemarketing calls, the use of automatic telephone dialing systems (ATDS) and the use of pre-recorded or artificial voice messages. Updates to the TCPA include the creation of the Do Not Call Registry in 2003.
Digitization is finally gaining momentum in the insurance industry. TransUnion has identified insurance digitization as one of the four insurance trends resulting from COVID-19. Digitization efforts grew 20% in the past year, and rapid digitization is expected to strengthen in 2021.
Insurance payments are going digital. Many insurers already accept inbound premium payments from policyholders. Now outbound claims payments are also catching on. These changes will bring benefits to both insurance companies and insurance customers. However, before these benefits can be realized, there are six challenges that must be overcome.