EFT – the cure for repetitive payment strain

“Beneficial Life is dedicated to operating with high standards of performance, and we’re confident that PayPilot will help us manage and issue payments better than we ever have. We’ve been extremely pleased with Prelude’s accessibility and their responsiveness to our needs.”

Annette Tolman
Beneficial Life Insurance Co.

In the normal course of their business affairs, life and annuity insurers issue a lot of repetitive payments, often over a long duration. The processing of these payments is an excellent candidate for automation—and electronic funds transfer.

The recipients of these payments fall into two main categories:

Policy holders – during the payout phase of an annuity, policy holders receive a stream of payments at regular intervals, usually monthly. Converting these payments to electronic fund transfers (EFTs) can significantly reduce your costs. Customer acceptance of EFTs is expanding rapidly in today’s electronic culture—and for good reason. The funds hit their accounts faster and don’t require a trip to the bank. PayPilot easily accommodates the migration from paper checks to electronic payments.
Agents – Many life and annuity insurers acquire policies through their network of agents for which they make regular commission payments. PayPilot can enhance insurer-agent relationships by combining multiple commissions into a single electronic payment. In addition, detailed commission information (e.g., by agent, by policy) can be included in the customized remittance advice. PayPilot can also handle negative commissions or credits when policies get canceled.

Of course, for those customers and agents without a banking relationship, PayPilot can print out paper checks. The software automatically segregates payments into paper and electronic groups. It also includes escheat processing for tracking uncashed checks.