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Visa Allows Real-Time Insurance Claim Payout Via Visa Direct

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Visa, Inc. (V - Free Report) via its service platform Visa Direct is working to provide real-time funds disbursements for insurance companies in partnership with their financial institutions, and their customers.

Visa Direct is a VisaNet processing capability that allows safe, convenient, real-time funds delivery directly to financial accounts using card credentials.

This real-time quick claims disbursement facility is much needed by the claimants, who have to wait for days to get the funds as per the insurance contracts.

This will also smoothen out the claims settlement process on part of the insurance companies and make their payout services efficient, which is one of the main features that customers look for when buying an insurance coverage.

Real-time transfer of funds is on the rise, given increased usage of technology in day-to-day activities. With Visa Direct, Visa clients and partners can enable insurance firms to quickly push disbursements directly to an individual’s or business’ bank account using their debit card for real time access.

By using Visa Direct-powered insurance payouts, customers of PNC Bank and Erie Insurance can now choose to have an electronic claims payment delivered to their bank account in real-time. Visa is also working with InsurPAY by Invenger Technologies to help enable real-time funds disbursements for American Family.

Globally, payment services partners like SafeCharge with innovators like Setoo, and Peoples Payment Solutions with TELUS Health, are working together to use Visa Direct to make insurance payouts quickly and easily.

Visa remains the forerunner in the payments industry when it comes to innovation and business growth. Numerous strategies such as mergers and acquisitions, investments in technology, deals and partnerships have driven business for the company with payments volumes of $7.6 trillion achieved in 2018 compared with $3.8 trillion for Mastercard Inc. (MA - Free Report) , $1.1 trillion for American Express Co. (AXP - Free Report) and $159 billion for Discover Financial Services (DFS - Free Report) in the same space.

In a year’s time, the stock has gained 21.6% compared with the industry’s rise of 18.7%.

Visa carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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