About
Simplified insurance payment solutions that meet modern consumer expectations, this first-in-industry solution allows our policyholders to pay for their insurance just like any other monthly online subscription.
Innovation presentation
We wanted to create a consumer journey that followed popular subscription services and gave customers flexibility in paying insurance premiums. With our Subscription Billing Service, customers can purchase insurance products online at their convenience and their policy will stay active as long as funds are available each month on their credit card. This billing method has many benefits. Standard pay plans can be problematic due to risks associated with non-payment of premiums. In Canada, credit card payment reports take several months to realize insufficient funds. In addition to the lost premiums during that time, there’s also a significant amount of administrative work involved with non-payment. With Subscription Billing, if a customer’s credit card has insufficient funds, their policy will automatically lapse at the end of the current monthly term.
No other insurer is offering a Subscription Billing Service in North America. For our standard products, non-payment of monthly credit card pay plans cost us thousands of dollars annually. We wanted to create options for our digital products that wouldn’t put the company at risk for further non-payments. That’s why we built our Subscription Billing Service. Several departments were involved in creating it including Digital, Information Services, Finance, Compliance/Legal and Marketing.
The service is being piloted with three brokerages and is scheduled for full roll-out this summer. The feedback so far has been overwhelmingly positive. Customers and brokers are happy with the service and we’ve received numerous messages from brokers and competitors asking how we created it.
Uniqueness of the project
We’re the first company in North America to market an insurance payment option that follows an online subscription model. This is a disruptive innovation as it provides a new approach that’s different from traditional monthly pay plans and offers consumers’ convenience and flexibility while reducing risks and costs for insurers. Our Subscription Billing Service aligns perfectly with Gore Mutual’s focus on digital innovation and our customer-centric approach to doing business.
Other insurers have tried to build a similar payment option, but failed and didn’t meet the necessary regulations. Since we launched our pilot, many insurance brokers have contacted us eagerly asking when they can have access to this payment option. Here’s what Behzad Salehoun, the co-founder of InsurTech company BrokerLift, has said about it: “Gore Mutual’s Subscription Billing Service is game changing. It allows customers to pay monthly like a Netflix subscription without requiring premium financing.”
