Healthcare payments are undergoing a transformation as patients increasingly seek payment experiences that mirror their everyday retail transactions. A new comprehensive study by TrustCommerce reveals how rising healthcare costs and evolving consumer preferences are reshaping the way providers approach billing and payments.
The 2024 Healthcare Payment Trends and Future Outlook Report, which analyzed data from multiple sources including TrustCommerce transaction data and a survey conducted by Morning Consult on behalf of Mastercard of 1,000 patients and 450 healthcare organizations, uncovers several crucial consumer trends:
Digital Payment Adoption Accelerates
Nearly all healthcare organizations (96%) now accept credit card payments, reflecting the industry’s shift toward digital payment solutions. While patients show a slight preference for debit cards (59% prefer debit vs. 39% preferring credit), actual payment data reveals that credit cards account for 47% of receivables, suggesting patients often choose credit cards for larger medical expenses.
Flexible Payment Options Become Essential
As healthcare costs continue to rise, providers are responding with more flexible payment solutions. The study found that 69% of organizations now offer payment plans to help ease patients’ financial burdens. This adaptation is crucial, as over half of patients frequently request flexible payment options.
Online Bill Pay Gains Momentum
Patient portals and digital billing are becoming the norm, with 94% of healthcare organizations that have offered online bill pay for over five years reporting increased patient adoption. The study shows that 71% of organizations use patient portals as their primary billing channel, followed by email (67%) and text messaging (60%).
Security is Top of Mind
While healthcare organizations are embracing digital innovation, they’re also prioritizing cybersecurity. The research indicates that providers are focusing on protecting patient data through secure payment storage and expanding secure payment options, including mobile wallets like Apple Pay and Google Pay.
Challenges and Opportunities
The study highlights that while 80% of providers identify updating billing systems and expanding payment options as key priorities, implementation remains challenging. About 77% of organizations report difficulties in enhancing network security, while 68% struggle with implementing flexible payment solutions.
“Patients have come to expect the same experience when interacting with their healthcare provider that they get when purchasing goods and services in retail environments,” notes Johnathan Welch, Chief Product Officer at TrustCommerce. “This transformation in healthcare payments underscores a pivotal shift: healthcare organizations must embrace these innovations to improve financial access, boost patient satisfaction, and foster loyalty in a rapidly evolving, patient-centered landscape.”
Integrated is the Way to Go
As the healthcare payment landscape continues to evolve, providers that offer streamlined, secure, and flexible payment options will be better positioned to meet patient expectations while improving collection rates. The key to success lies in implementing integrated payment solutions that balance patient convenience with robust security measures.
Click here to download the 2024 Healthcare Payment Trends and Future Outlook Report.
