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InstaMed and J.P. Morgan’s Bill Marvin: Leveraging payment advancements can improve patient experience

Marvin discusses what the company has learned from tracking payment trends for more than a decade, how the last 2.5 years have been its strongest to date, his advice for other CEOs and more.

Health Evolution | March 23, 2022

Bill Marvin co-founded InstaMed in 2004 and in 2019 J.P. Morgan acquired the health care payments company. In the time since, Marvin has continued to serve as InstaMed CEO and taken on the additional role of Managing Director and Head of Healthcare Payments for J.P. Morgan.  

Health Evolution interviewed Marvin about how J.P. Morgan’s $12 billion technology investment has helped InstaMed have its best years to date, the health care industry’s enormous opportunity to leverage advancements in payment technologies to improve patient experience, the challenge of patient responsibility and more.   

When J.P. Morgan acquired InstaMed in 2019, the deal was widely hailed as among its biggest since the financial crisis. How has J.P. Morgan enabled InstaMed to grow? 
The need for digitization in health care has never been more apparent. The pandemic forced the acceleration to digital and contactless experiences in health care like nothing before. InstaMed and J.P. Morgan are bringing the combined power of a fintech and a global bank to clients. We’re helping providers and payers implement consumer digital payment tools, streamline commercial payments and optimize working capital.    

The two and half years since the acquisition have been InstaMed’s strongest since the company was founded in 2004. We’re working hand-in-hand with providers and payers across the country to navigate all of the industry and external challenges. J.P. Morgan’s focus on health care and $12 billion investment in technology help us deliver the innovation the industry needs.   

In addition to continuing to serve as CEO of InstaMed, you are also Managing Director and Head of Healthcare Payments for J.P. Morgan. From that purview, what should CEOs understand about the future of payments broadly speaking? 
The J.P. Morgan Payments team recently released a white paper, “Payments Are Eating the World.” It’s a great read and gives insight into just how rapidly the payments world is evolving, innovating and transforming. In the next decade, payments will connect the physical, digital, and virtual worlds with speed and flexibility that will fuel innovation and drive business growth. The health care industry has a tremendous opportunity to leverage these advancements to drive better experiences for all stakeholders and address the inefficiencies of paper and manual processes.  

The challenge of patient responsibility is not going away – costs will continue to rise so providers and payers need to find solutions that simplify payments and help reduce friction as much as possible. One example of payment innovation is InstaMed’s integration with Chase.com for health care bill payments. The reach of the InstaMed Network, which connects over 50percent of the health care providers in the U.S., combined with the +50 million U.S. consumers who bank with Chase, makes it easy for consumers to pay their health care bills.  

InstaMed also develops and publishes the annual Trends in Healthcare Payments Report. After tracking payment trends for more than a decade, what surprised you the most in that research? What does the data reveal about where health care as an industry has made the most progress and where it has fallen short?  
This year’s Trends in Healthcare Payments report reveals how consumer sentiment about the health care payments experience varies significantly by age and race. Overall, about half of consumers would switch providers for a better health care payments experience. However, younger consumers are much more likely to switch. Only 24percent of Baby Boomers would switch providers compared to 74 percent of millennials. There is a 23percent increase in the likelihood to switch providers for Black consumers compared to White consumers. 

Health care has not kept pace with consumer expectations, even as costs for medical bills and premiums have increased substantially. This disconnect was most evident in surprise bills – almost 9 out of 10 consumers were surprised by a medical bill.  

The report also offers hope that consumer experiences can get better quickly. At the start of the pandemic, health care moved fast to create digital pathways with consumers. Two years later, this digital surge shows no sign of slowing down. The trends report shows consumers take advantage of digital payments when available in health care, including significant growth in online payments and digital wallets. 

What’s next for InstaMed? What should existing and prospective clients expect in the next 18-24 months? The next 3-5 years beyond that?  
Our clients are already taking advantage of the synergy that’s been created by integrating InstaMed into J.P. Morgan – payment solutions that put consumer needs front and center and offer clients faster access to funds, as well as the health care expertise of our combined team. Looking forward, we will continue to offer solutions specifically developed to meet the challenges healthcare organizations face today and in the future. Our approach combines payments, treasury and banking services to help organizations manage risk and capture opportunities in a rapidly changing environment.  

Having previously founded another company, CareWide, what advice would you as a serial entrepreneur offer to other innovators and startup CEOs? 
Build products that solve problems. Differentiate yourself from competitors. Don’t take shortcuts. Be consistent with your vision and your messaging.  

About the Author

Health Evolution, Staff Writer