How payment technology is changing insurance distribution in 2023
What is payment technology?
Payment technology is a system that digitally coordinates financial transactions between two parties using APIs. This is referred to as an electronic payment which can be facilitated via Payment Service Providers (PSPs).
What is a PSP?
“Payment service providers are an important part of the payment ecosystem. For any business that wants to deliver a simple payment experience to their customers" says Rob Keating of Go Cardless (Keating, Rob. “What is a PSP (payment service provider).” A PSP is a third-party merchant that helps accept payments by connecting them to a bigger financial infrastructure, in other words, a payment gateway.
Advantages of paytech
Paytech is the future of online payments. For insurers the advantages of payment technologies are undeniable; faster, more secure, and all done quickly via a PSP, saving resources overall
What put the revolution in motion?
During the pandemic, everyone was forced to go online. Businesses had to adjust to fulfill the new needs and wants of their customers, insurers were no exception. After many years of legacy systems fighting the change, Covid-19 brought no option; it was digitise or die.
How this change is for the better
Improved customer experience
Say bye to fraud (additional security layer)
Increased operational efficiency
Gaining a competitive edge
Lower costs with higher return
Insurers pivot to digital solutions
The insurance industry became quickly aware of the need to digitise to keep a competitive edge and keep hold of loyal clients and customers. By updating payments, infrastructure, and workflows, insurers will find themselves on the upper hand of operational efficiencies leading to a business prepared for any shifts in the marketplace.
How does distribution get affected?
Insurance distribution has not moved very far from legacy systems. With the demand increasing drastically for digital adaption - not only from the end-customer but also from clients of Briisk - direct digital distribution is key to being part of the future of insurance.
API integration with legacy systems
APIs are a set of functions allowing applications and platforms to interact with external sources such as software components, operating systems, and payment technology. With antiquated ways of doing still present, APIs offer a bridge between legacy systems and paytech solutions, while the move to completely digital is still in motion. Briisk makes use of APIs by integrating with PSPs and PAS which leads to the smooth creation of insurance products through the Briisk Instant Transaction Platform.
The secret to being part of the paytech revolution
“The secret to easily overcoming all these challenges is finding an industry-specialised and highly experienced partner.” says OneInc (The OneInc Content Team. “6 challenges to digital payment adoption”).
A technology partner like Briisk that understands insurance is essential to keeping ahead of the modernisation and digitisation in the industry. Integration is complex and establishing multiple payment methods is no easy feat.
With experience in digital insurance distribution, Briisk will assist in developing your products in a digital format (web/mobile), distributing via your personalised interface (brand label), and reaching your customers in a modern way. Legacy onboarding is eliminated with the use of the Instant Transaction Platform that offers a full-house end-to-end insurance workflow for any insurance product.
See how Briisk can power your business in 2023 while overcoming the ever-changing insurance environment.
Insurance is fundamental to our lives, offering protection and security when the unexpected strikes. This article will explore the different types of insurance and their vital roles. We will also delve into insurance history, including the Great Fire of London and the influential figure often credited as the father of insurance, Elizur Wright. Additionally, we will […]
The insurance industry, often referred to as the backbone of financial security, serves as a safeguard against uncertainties and risks that life throws our way. As we examine the current state of the insurance industry, it becomes evident how important insurance really is. The industry is undergoing a transformative period due to emerging technologies and […]
Insurance companies face the challenging task of effectively managing massive amounts of data while striving to enhance operational efficiency and provide exceptional customer experiences in today's fast-paced and data-driven world. An effective response to this problem is a cloud-based platform. Interestingly, the insurance sector has seen a notable shift in perception as insurers and their […]
Insurance intermediaries connect customers with the right products in the rapidly evolving business landscape. However, intermediaries face numerous challenges, including time-consuming administrative tasks and the need to stay productive in a highly competitive market. Fortunately, introducing insurance technology has started a paradigm shift, empowering intermediaries to automate processes, increase productivity, and ultimately boost business revenue. […]
The insurance industry has traditionally been known for its slow, manual processes. But with the advent of new technologies, there is a growing trend towards digitisation and automation in the industry. In South Africa, underwriting management is undergoing a digital transformation, and new technology in the market disrupts the way things are done. Automated Underwriting […]
What is payment technology? Payment technology is a system that digitally coordinates financial transactions between two parties using APIs. This is referred to as an electronic payment which can be facilitated via Payment Service Providers (PSPs). What is a PSP? “Payment service providers are an important part of the payment ecosystem. For any business that […]
Allianz, one of the world's largest insurers with a century-long foothold in Africa, has joined forces with Sanlam, the continent's largest non-bank financial services company. The alliance will enable Allianz and Sanlam to combine their existing and future operations in 29 African countries, becoming the continent's largest non-bank financial services provider. By merging Sanlam's expertise […]
In this interview, Rahul Khajuria, Vice President of Kotak Mahindra Life, talks about the full-stack Briisk Instant Transaction Platform. Kotak Life successfully introduced an innovative on-demand micro life insurance in rural India, to promote financial inclusion in emerging markets. We spoke with Rahul Khajuria, Vice President of Kotak Mahindra Life, about how they used the […]
InsurTech firms are having a transformative effect on the insurance industry. Studies show that at least 86% of insurers think their revenues will be at risk from future technological disruption – and perhaps nothing demonstrates this better than the rise of game-changing InsurTech. So what caused the rise of InsurTechs? And why was it essential? […]
This interview with our founder and joint CEO Hanno van Aarde is about the challenges that brokers face in the digital age and solutions to bring about digital transformation. We are especially looking at how due to the COVID-19 pandemic and the ensuing lockdowns the modern insurance broker has to find digital ways of how […]