The rise of virtual cards in healthcare

In an era where technology touches every aspect of our lives, the way we make payments is no exception. As industries adapt to the digital age, the healthcare sector embraces a game-changing solution: virtual cards. These digital payment methods transform financial transactions for patients, healthcare providers, and insurers. Virtual cards offer a seamless, secure, and efficient alternative to traditional physical cards, quickly becoming a go-to choice in the healthcare industry. According to a report by Spherical Insights, the virtual cards market is expected to grow from US$11.7 billion in 2021 to US$65 billion by 2030 at a compound annual growth rate (CAGR) of 21%.

Why Virtual Cards are Gaining Popularity

Security

One of the most significant advantages of virtual cards is their security. Unlike physical cards, which can be lost, stolen or compromised, virtual cards are created digitally and provide enhanced protection. They require multi-factor authentication such as a fingerprint or a one-time password to complete transactions, adding an extra layer of security to protect the cardholder's personal information. If a virtual card is compromised, it can be easily replaced, eliminating the need to wait for a new physical card to be mailed.

For instance, Slade EDI features a virtual card in a digital template format that is used in place of a physical card. The virtual card is shared via SMS and email with the beneficiary. It is accessible via the Be.Well by Slade360° app.

If prompted, the beneficiary can still share it as an image or PDF. During the first visit, the healthcare provider enrols the beneficiary using either fingerprint or OTP, as determined by the insurance provider. In the event that the beneficiary visits the hospital, they are authenticated via OTP or fingerprint.

Convenience at your fingertips

Gone are the days when you had to carry a physical wallet full of cards. Virtual cards offer tremendous convenience, especially in healthcare. Imagine going to a doctor's appointment and realising you've forgotten your physical card at home. With a virtual card, you don't need to worry. You can easily access your card from your phone or computer, ensuring you can continue your planned visit. Whether you’re using it at the hospital or for insurance verification, everything you need is now right in the palm of your hand.

Instant issuance

Once approved, new cards can be generated instantly without any hassle. Virtual cards are more cost-effective than physical cards because they eliminate expenses related to manufacturing, printing, and distributing physical cards while offering the added advantage of instant card creation.

Durability

One significant benefit of virtual cards is their durability. Physical cards are susceptible to wear and tear, scratches, demagnetisation, or damage. These issues can result in problems with card readers or the need for replacements. In contrast, virtual cards are stored digitally, eliminating these concerns. There’s no risk of losing your card since it isn’t a physical object and you don’t have to worry about it becoming damaged over time.

A bright future for virtual cards in healthcare

As the demand for safer, faster, and more efficient payment options grows, virtual cards will quickly become the future of healthcare transactions. The ability to access them instantly, use them securely, and reduce overhead costs makes them an attractive option for both healthcare providers and patients. As this technology continues to evolve, we expect virtual cards to become even more integrated into the healthcare ecosystem, making payment processes smoother and more streamlined. Virtual cards aren't just a trend; they change how we pay. By integrating digital and physical experiences, virtual cards offer a secure, convenient and reliable way to manage healthcare payments and services.