You might not spend much time thinking about the resources your insurance company devotes to incoming premium checks – but it’s probably significant. You might also think that there’s no way around the hassle of sorting incoming mail – but there’s actually a better solution. Lockbox service removes the hassle of incoming check collection. In addition to freeing up your company’s resources, lockbox service can also reduce the chance of something slipping through the cracks – especially while we’re all working remotely.
How Does Lockbox Service Work?
Your company receives a lot of payments – possibly hundreds of checks each week. These must be processed immediately to avoid policy lapses and to keep your policy administration system current.
With lockbox service, mail is sent to a separate address maintained by the lockbox provider. The mail is sorted for you, freeing up your company’s valuable resources. Covenir’s intelligent lockbox takes this concept to the next level. We receive your checks and post payments through a batch process or manually post payments directly to your software. Even better, non-payment correspondence can be scanned and digitized by Covenir and further ingested into your company’s electronic systems through a process we call virtual mail room.
What About Online Payments?
You may be receiving more and more of your payments electronically. In many cases, online payment systems are integrated with your policy administration system, minimizing the manual work involved. However, if additional steps are needed, the Covenir team offers full service premium and payment services. We can help you ensure that payments are received and applied promptly and accurately within your core system.
Is the Lockbox Service Safe?
In the insurance industry, even small mistakes can be costly. It’s important to go with a lockbox service provider that knows the insurance industry in and out. This way, you can rest easy knowing that all processes are done in full compliance with relevant rules and regulations.
Having a service devoted to mail collection and processing can reduce the risk of error, as well. When you rely on a lockbox or virtual mailroom, you’re getting services that are dedicated to making sure that nothing slips through the cracks.
A Modern Solution
The idea of a lockbox service has been around for a while, but modern developments make this option more attractive than ever.
As offices switch to remote work arrangements, lockbox services make even more sense. When you use a lockbox service, you don’t have to worry about having anyone in the office to handle incoming mail. The lockbox service takes care of it for you, wherever your team is located.
Intrigued? Learn more by downloading this white paper.