Payment platform Dream Payments announced today at InsureTech the launch of the Dream Insurance Payment Network across the US. Dream offers insurance carriers a common API that enables real time disbursements via a variety of methods through a single connection to the JPMorgan Chase wholesale payments platform. Once a disbursement is authorized by the carrier, the claimant is directed to a secure portal on the Dream platform where they can choose to receive payment via Instant payment, ACH, virtual card, or check.
“We are excited to power Dream Payments as they foster innovation within the insurance payments ecosystem – as our Wholesale Payments business continues to be the provider of choice for fintech payments globally,” said Cyrus Bhathawalla, Global Head of Real Time Payments, J.P. Morgan.
“By integrating to the Dream Insurance Payment Network and embedding our real-time payment API into their policy administration and claims systems, both insurance carriers and software platforms can now deliver the ultimate claims payment experience to their customers and suppliers,” said Brent Ho-Young, Dream Payments CEO.
Insurance carriers disburse over $4 trillion to cover loss claims in the US every year. Payment cards have long been viewed as a way to expedite the claims process vs conventional checks, but integrating card issuance into the claim disbursement workflow has been a pain point for insurance carriers. Dream’s API make it easy for carriers to offer a variety of electronic payment options to claimants via a single point of integration.
This becomes another example of the paradox of payments: as technology expands payment capabilities and provides payors with more options, the experience for the payee becomes more transparent, as the payment itself moves away from being a separate workflow and blends into the workflow that created it. Dealing with a loss that starts an insurance claims process can now be less stressful as the reimbursement becomes faster and easier for the claimant to receiver, and more efficient for the carrier to pay.
Overview by Don Apgar, Director, Merchant Services Advisory Practice at Mercator Advisory Group