By: Elisa Logan, Vice President Marketing
If you ever took a Greek mythology course, you probably recall the story of the Minotaur—a half-man, half-bull creature intent on wreaking havoc across the ancient kingdom of Crete. To contain the threat, King Minos had his master craftsman Daedalus build the original Labyrinth, an impossibly complex and confusing structure designed to trap the Minotaur forever. It worked. The Minotaur wandered through the Labyrinth for decades, until it was eventually dispatched by the Cretan hero Theseus.
This ancient story still resonates 2,500 years later, because we humans often find ourselves trapped in our own (metaphorical) Labyrinths—struggling to find a way out. In the insurance claims payment space, this takes the form of dozens of well-meaning practices and procedures that have been developed to meet perfectly legitimate needs. But over time, they have started to overlap, intertwine, get layered on top of each other, and grow in complexity until, Voila—Labyrinth!
As policyholder demands for faster, easier claim experiences grow, so does the need to simplify this claim process labyrinth. For example, new payment types mean that preferencing has grown much more complex—with more enrollment options, new account validation requirements, and a growing range of new and traditional payment options. And multi-party payments add yet another layer of complexity to the whole process.
So how do you navigate these constantly growing and changing claim payment Labyrinths? Today, most insurance companies either depend on employees who have learned how to step in and navigate different parts of the maze—or they attempt to build their own technology solutions. But either of these approaches can be expensive, inefficient, and error-prone. Plus, navigating the Labyrinth prevents your most experienced employees from focusing on more important, meaningful tasks.
The smarter answer involves using technology from a fintech partner to navigate your claim payment Labyrinths for you. In this context, technology never gets lost or confused; it evolves organically with the market without any heavy lifting on your part.
For example, a fintech claim payment solution like VPay stores all of your customer and payment data in one place, so you can easily manage and automate payment preferences and multi-channel payments. It also allows you to create a single system of record to simplify claim reconciliation and gain deeper visibility into the payment process.
Although the complexity behind claim payments will never go away, fintech solutions like VPay—and the automation they bring—can take a lot of the complexity off your plate and provide a simple, seamless experience for your policyholders. So those claim payment Labyrinths you deal with every day can start to look a lot more like pleasant garden paths to your policyholders, service providers, and employees.