Mastercard's New Solution for B2B Healthcare Payments

Mastercard’s New Solution for B2B Healthcare Payments

Time Stamp: January 22, 2024 6:44 AM
Source Node: 2451216

By leveraging its virtual card technology, Mastercard aims to expedite
payments, providing a swift and secure financial ecosystem for healthcare
providers and insurers.

In a strategic collaboration with Remedinet, a cloud-based healthtech
platform, card giant Mastercard’s B2B healthcare payment solution is making its debut in India. The goal is clear: to simplify
cashless claims and foster seamless transactions between hospitals, health
insurers, and third-party administrators.

How Does It Work?

Mastercard’s end-to-end payments solution is crafted around virtual
card technology. By embedding virtual cards within healthtech platforms, like
Remedinet, through API connectivity , Mastercard ensures that B2B payments
become both faster and more secure.

Remedinet gains instant access to virtually generated cards issued by
their bank the moment they submit a medical claim to an insurance company. This
move significantly accelerates the payout process for hospitals, transforming a
historically lengthy waiting period into almost immediate compensation.

For insurers, the introduction of Mastercard’s virtual cards means
enhanced transparency. Transaction-level data accompanies claim settlement
information, facilitating streamlined processes and automated reconciliation.

Chad Wallace, Global Head of Commercial Solutions at Mastercard (LinkedIn).

“We’re on a mission to integrate our technology into platform providers
to drive seamless B2B payment experiences at greater scale. As we assessed
industries where we can contribute with impact, healthcare emerged as a
critical industry to unlock payment efficiencies,” said Chad Wallace, Global
Head of Commercial Solutions at Mastercard.

Addressing B2B Healthcare Challenges

Mastercard’s foray into solving B2B healthcare payments is designed to
align fintech and healthtech to tackle inefficiencies. Particularly in emerging
markets like India, legacy systems in use by insurers contribute to
bottlenecks, resulting in payment delays and increased borrowing costs for
healthcare providers.

Manual claims processes and reconciliation add to the challenge,
creating uncertainty for healthcare providers and straining billing teams.
Healthtech startups, despite being instrumental in driving efficiencies, often
lack the resources needed to independently address these issues, according to
the company.

The Power of Partnerships

Through partnerships with industry leaders like Mastercard, healthtech
enablers can bridge the gap, accessing the necessary solutions to improve
connectivity between healthcare parties and revolutionize the payments process.

Raja Rajamannar, Chief Marketing and Communications Officer (LinkedIn).

Raja Rajamannar, Chief Marketing and Communications Officer and
President of healthcare at Mastercard, said of the current situation in
healthcare, “The healthcare industry is at an inflection point, with evolving
digital-first expectations challenging industry norms. Around the world, we’ve
been working closely with healthcare organizations to better serve their
partners and patients with a range of products and services well-tuned to drive
simplicity, convenience and efficiency in payments and beyond.”

The partnership with Remedinet represents yet another global
collaboration for Mastercard.

By leveraging its virtual card technology, Mastercard aims to expedite
payments, providing a swift and secure financial ecosystem for healthcare
providers and insurers.

In a strategic collaboration with Remedinet, a cloud-based healthtech
platform, card giant Mastercard’s B2B healthcare payment solution is making its debut in India. The goal is clear: to simplify
cashless claims and foster seamless transactions between hospitals, health
insurers, and third-party administrators.

How Does It Work?

Mastercard’s end-to-end payments solution is crafted around virtual
card technology. By embedding virtual cards within healthtech platforms, like
Remedinet, through API connectivity , Mastercard ensures that B2B payments
become both faster and more secure.

Remedinet gains instant access to virtually generated cards issued by
their bank the moment they submit a medical claim to an insurance company. This
move significantly accelerates the payout process for hospitals, transforming a
historically lengthy waiting period into almost immediate compensation.

For insurers, the introduction of Mastercard’s virtual cards means
enhanced transparency. Transaction-level data accompanies claim settlement
information, facilitating streamlined processes and automated reconciliation.

Chad Wallace, Global Head of Commercial Solutions at Mastercard (LinkedIn).

“We’re on a mission to integrate our technology into platform providers
to drive seamless B2B payment experiences at greater scale. As we assessed
industries where we can contribute with impact, healthcare emerged as a
critical industry to unlock payment efficiencies,” said Chad Wallace, Global
Head of Commercial Solutions at Mastercard.

Addressing B2B Healthcare Challenges

Mastercard’s foray into solving B2B healthcare payments is designed to
align fintech and healthtech to tackle inefficiencies. Particularly in emerging
markets like India, legacy systems in use by insurers contribute to
bottlenecks, resulting in payment delays and increased borrowing costs for
healthcare providers.

Manual claims processes and reconciliation add to the challenge,
creating uncertainty for healthcare providers and straining billing teams.
Healthtech startups, despite being instrumental in driving efficiencies, often
lack the resources needed to independently address these issues, according to
the company.

The Power of Partnerships

Through partnerships with industry leaders like Mastercard, healthtech
enablers can bridge the gap, accessing the necessary solutions to improve
connectivity between healthcare parties and revolutionize the payments process.

Raja Rajamannar, Chief Marketing and Communications Officer (LinkedIn).

Raja Rajamannar, Chief Marketing and Communications Officer and
President of healthcare at Mastercard, said of the current situation in
healthcare, “The healthcare industry is at an inflection point, with evolving
digital-first expectations challenging industry norms. Around the world, we’ve
been working closely with healthcare organizations to better serve their
partners and patients with a range of products and services well-tuned to drive
simplicity, convenience and efficiency in payments and beyond.”

The partnership with Remedinet represents yet another global
collaboration for Mastercard.

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