By: Elisa Logan, Vice President Marketing
When one thinks of insurance fraud, the typical image that comes to mind is of someone who fakes an accident and files a false claim, hoping for a big payout from the insurance company. However, there’s one segment of fraud that’s often overlooked, but is still a serious threat to insurers: payment fraud.
According to the 2018 AFP Payments Fraud & Control Survey, 78 percent of respondents experienced some form of payment fraud the year before, with 74 percent of fraud incidents involving checks. That’s a troubling figure for an industry like insurance, where many insurers still use paper-based checks in their claims payment systems.
The good news is that there are a number of emerging technologies and tools that can help insurers fight back.
The key is to implement a comprehensive claim epayment system that makes use of the latest technologies to deliver epayments based on customer preference while also combatting check fraud. VPay’s Total Payment Solution stands apart from other systems by offering every payment type—check, automatic clearinghouse (ACH), virtual card, or direct-to-debit payments—as preferred methods of payment. Each of these forms of payment can be securely submitted and processed. And the Total Payment Solution includes the ability to establish alerts and configurable business rules to make reconciliation easier to cut down on possible fraud.
Securing your organization against payment fraud is not just a matter of protecting revenue and sensitive data. It is also an important step toward protecting your company’s reputation. A KPMG survey found 33% of consumers would stop making purchases from a company for at least three months after a cybersecurity attack.
To learn more about the latest cyber threats to insurance companies and how VPay’s total payment solution can help secure your payment processing, download the infographic, Are Your Claim Payments CYBERSAFE?
Visit vpayusa.com or call 855-VPAY-USA to get started.