Last Modified On 9/10/2023
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FAQs
1. What is an Auto Insurance Card?
Auto Insurance Card solution is a closed looped payment ecosystem for Automobile dealers, for making their daily new as well as renewal insurance payments.
2. Solution is designed for which Industry?
The Product is designed for Automobile Dealer Industries, two wheelers, four wheeler and commercial vehicles dealers.
3. Who bears the Cost?
The MDR are charged to the insurance company for every transaction done by the dealer.
4. What is the credit cycle given?
The Credit Period given to the dealer is 15 day cycle and 7th day payment from cycle cut.
5. What is the typical pricing?
The pricing is 0.65 % MDR for no cashback plan and 1.65% cashback for plan with 1% cashback.
6. What is the cashback offered to the dealers?
The cashback can be offered from 0.5% to 1% depending on the plan approved with the OEM.
7. Will the card work for any other payments?
No, the cards issued under this program are completely CUG, the card will work on only emplaned insurance companies tied up with the OEM on the OEM portal.
8. What are the benefits to Insurance Companies?
Monthly recovery of the transaction cost.
Daily transaction report to the insurance companies for easy reconciliation
No collection and invoicing manpower required, thus considerably reducing the manpower cost
Minimizes credit risk and write offs.
9. What are the benefits to Automobile Dealers?
Reducing the transaction processing time and the cost of high volume, low value cheque payments.
Real time policy issuance leading to customer satisfaction.
Streamlining the cost of payment and financial accounting procedures.
Maximizing control, accountability and reconciliation of payments
Minimizing risks associated with fraud, forgery, thefts through a secure, totally automated card Program (only predetermined Insurance Companies are eligible for a financial transaction under this Program)
Rebate on the usage – If agreed by the empaneled Insurance Company to bear the cost.
Payment can be done 24/7 and all 365 days with nil dependency on the banking hours.
10. What are the benefits to Original Equipment Manufacturer (OEMs)?
Control and visibility on the payment being processed through the OEM’s insurance Brokerage portal to the empaneled insurance companies only thus minimizing the pilferage in the insurance being done outside the program.
Ensuring the maximum commission as all transaction is being done through the empaneled insurance companies only.
11. Is Promo ID must for Plough Back on card?
Yes, plough back is automated through Prima, and the basic check to qualify a card for plough back is Promo ID.
Sales have to select the Promo ID on the signed MID collected with the setup
The Promo ID is updated though card operations team basis EDW file
12. Is Channel ID updation required for Auto Insurance Cards?
Yes, Channel ID is must for Auto Insurance Cards where OTB is shared to OEMs example – Maruti, Hero, Hyundai, Mahindra
Sales have to manually update the Channel ID at relationship level post new card is approved
Only one channel ID can be updated on one relationship
