P&C insurers in the U.S. could save an estimated US$22-43 million by moving away from cheques to electronic payment methods for claim disbursements, a new Aite Group report reveals
Boston, MA (Oct. 30, 2019) – Once P&C insurance carriers have ensured that any claim payout is not greater than necessary, the fund handover is anticlimactic, with most carriers either sending physical cheques or empowering local adjusters to cut cheques and deliver them to payees. Aite Group’s latest report, Business-to-Consumer Disbursements in the U.S.: The P&C Insurer Opportunity, examines evidence that suggests that U.S. consumers would be more than amenable to receiving claim disbursements through means other than a paper cheque.
“While traditional payment methods will persist in the economy for some time to come, providing recipients with faster and more convenient digital payment methods improves the overall customer experience,” explains Jay Sarzen, senior analyst at Aite Group. “To that end, payers are beginning to adopt card-based instant and alias-based payment methods,” he adds.
This Impact Report digs into data that supports the contention that P&C carriers can employ alternatives to traditional claim payment disbursement options and that consumers can accept them. It is based on a Q2 2018 Aite Group and Ingo Money survey of 2,538 U.S. consumers aged 18 years or older who received a funds disbursement in the 12-month period from June 2017 to May 2018.
Click here for the online report summary or to download the table of contents.
This report digs into data that summarizes a few of the key points that support the contention that alternatives to traditional claim payment disbursement options can be employed by P&C carriers and can be accepted by consumers. It is based on a Q2 2018 Aite Group and Ingo Money survey of 2,538 U.S. consumers aged 18 years or older who received a funds disbursement in the 12-month period from June 2017 to May 2018.
This 21-page Impact Report contains 13 figures and five tables. Clients of Aite Group’s Retail Banking & Payments or P&C Insurance service can download this report, the corresponding charts, and the Executive Impact Deck.
Click here for the online summary or to download the table of contents.
About Aite Group
Aite Group is a global research and advisory firm delivering comprehensive, actionable advice on business, technology, and regulatory issues and their impact on the financial services industry. With expertise in banking, payments, insurance, wealth management, and the capital markets, we guide financial institutions, technology providers, and consulting firms worldwide. We partner with our clients, revealing their blind spots and delivering insights to make their businesses smarter and stronger. Visit us at www.aitegroup.com.
Source: Aite GroupTags: payment, United States (USA)