Insurance company: Online payment becomes hotter and hotter

Today, online payment is still not paid enough attention in Vietnam economy in general and by general insurance company in specific. However, online payment will become an unavoidable trend in the future although its rate is still low at the moment.

Insurance company: Online payment becomes hotter and hotter

Online payment situation

Online payment only makes up 10% of total number of transactions and fees of electronic commerce in 2015.  This number is much lower if you only count general insurace sector. While life insurance company has focused on investing in online payment channel, general insurance has not taken many steps in this fields.

Technology and electronic transaction system of life insurance company reached closed system including many steps like consulting, completing contract and fee payment.

Since years, a life insurance company has used an app allowing paying insurance fee via ATM card. Smart phones will be installed card reading app.

Life insurance sector has applied many different kinds of insurance fee payment models like payment via online payment gateway or via Internet banking. New kind of payment will be launched in the near future.

So, general insurance company is left far behind in the online payment race with life insurance company. However, we cannot deny that cash payment is the most popupar payment kind in Vietnam today.

Development of online payment in the future

Online payment is expected to develop rapidly in the future when collaboration between card companies, banks and gateways is getting tighter and better.

General insurance company has realized this trend and they are pushing online insurance in sales and payment.

When the habit of card payment is developing profoundly, the feature of online payment compared with cash payment and investment of insurance companies and banks will contribute to development of online payment in the time coming. That is no doubt about it.