Boston, May 19, 2016 – ACH and virtual card players both support the Affordable Care Act’s aim of lowering healthcare provider reimbursement costs. ACH delivers a low-cost transaction, virtual cards offer the potential to do the same, and both leverage payments automation. Though neither has established itself as a market leader in reducing back-office costs, ACH vendors hold the electronic payments upper hand. The gap between ACH and virtual cards is currently wide, but the race should continue, and payments vendors helping to solve for providers’ dual cost challenges stand to demonstrate real ACA progress.
This report, based on an Aite Group survey of 214 small and midsize U.S. healthcare businesses, digs into the commercial reimbursements market, modeling the total GDV and total transaction volume by check, ACH, and virtual card. It also develops the average cost to accept each payment method, including the transaction cost and labor cost, and examines payments vendors’ strategies to increase revenue.
This 34-page Impact Report contains 31 figures and four tables. Clients of Aite Group’s Health Insurance service can download this report.