AAA Life Insurance Company, which is part of the American Automobile Association (AAA), will use One Inc’s PremiumPay solution as its primary platform for digital payment processing.
PremiumPay will reduce paper billing; allow policyholders to make inbound premium payments through Venmo, PayPal and other direct payment models; and streamline AAA Life’s internal processing, the companies said in a Thursday (May 15) press release.
“Modernizing our digital payment process is one way we’re making it easier for policyholders to manage their coverage,” AAA Life Chief Operations Officer Michael Vellat said in the release. “Integrating One Inc’s platform helps us streamline operations and scale to meet the needs of our growing customer base.”
One Inc, a digital payments network specializing in the insurance industry, serves more than 270 carriers and handles billions of dollars in premiums and claims each year, according to the release.
The company’s PremiumPay solution offers diverse payment options, multi-channel communications and swift claims settlements, the release said.
“Efficient and seamless payment solutions are crucial for driving growth and improving the member experience,” One Inc CEO Ian Drysdale said in the release. “We’re pleased to support AAA Life with PremiumPay as they continue enhancing their digital infrastructure and delivering a more convenient payment experience for their policyholders.”
Bill pay has become more digital, fueled by consumers’ adoption of mobile wallets, according to the PYMNTS Intelligence report “Digital Bill Payments: Mobile Wallets Gain Popularity, But Hurdles Remain.”
The report found that 60% of consumers had used mobile wallets for bill pay during the previous year, and 23% had done so at least weekly over the past year. It also found that 68% of affluent consumers had paid bills using a mobile wallet in the previous 12 months.
The insurance industry’s interactions with customers are infrequent, as premiums may be paid once a year or on a staggered monthly basis, One Inc Chief Revenue Officer Kevin Ostrander told PYMNTS in an interview posted in March.
Those relatively limited engagements give insurers a few critical junctures to move to digital means of connection, from SMS communications to digital invoices and payments, Ostrander said.
“Paper is still dominant within the insurance industry, both on the inbound premium side as well as on the disbursement side,” Ostrander said.
