20 hours Ago By PYMNTS
Edenred Payment Solutions has unveiled a tool to speed insurance claim payouts.The U.K.
company’s virtual card number (VCN) product, announced Wednesday (March 19), is designed to let customers access funds instantly rather than waiting weeks for reimbursements.“Virtual cards and embedded finance are transforming the insurance industry by streamlining the claim payout process,” Rehana Mitha, Edenred’s managing director, said in a news release provided to PYMNTS. “These technologies enable instant access to funds; eliminating delays and reducing paperwork for policyholders, while also offering insurers better transparency and fraud prevention tools.
”According to the release, Edenred’s virtual cards can be added to mobile wallets such as Apple Pay or Google Pay, allowing for direct, undelayed payments to service providers or merchants.“Each virtual card is generated with a unique card number, expiration date, and security code, making claims payouts simple,” the release said. “Insurers can also set limits and restrict spending to specific categories to ensure proper use.
”PYMNTS examined the complexities of payments in the insurance industry earlier this month, a system marked by multiple touch points among a range of stakeholders: carriers, customers, claims adjusters and contractors.In an interview with PYMNTS, One Inc. Chief Revenue Officer Kevin Ostrander said payments are still one of the most important touch points within those interactions, but are inefficient and often paper-based.
Still, the insurance sector has been undertaking what Ostrander dubbed “a massive digital transformation over the last 20 years” that promises to quicken workflows and payments.“That transformation was initially focused on core systems, where carriers began to move off their legacy systems, which housed hundreds of applications that governed and ran insurance operations, from billing to claims,” PYMNTS wrote.Carriers have been working to streamline all sorts of processes and drive an optimized customer experience, added Ostrander.
As for the payments, “when you think generally about payments overall, the concept of accepting a payment or pushing a payment isn’t really complicated,” he said.What is complicated is finding a way to make sure carriers can pay customers how, when and where they want to be paid.Edenred’s announcement comes days after the company joined forces with M3 to provide financial solutions to hospitality businesses.
The partnership will marry M3’s hospitality-focused financial management platform with Edenred Pay’s payment automation solutions“This partnership with Edenred Pay aligns perfectly with our mission to empower hoteliers with cutting-edge tools that drive efficiency and profitability,” M3 President Casi Johnson said in a news release. “Together, we’re offering an all-in-one solution that streamlines financial management and positions our customers for long-term success.”The post Edenred Debuts Virtual Card Solution for Insurance Payouts appeared first on PYMNTS.
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