P27 aims to create a common future-proof infrastructure for payments in the Nordic region. This Nordic initiative will serve its 27 million inhabitants with a modern platform, enabling multi-currency domestic and cross-border payments. The new infrastructure will be the world’s first of this type, facilitating initiative and innovation to both businesses as well as individuals in the region.
As P27 is gearing up we are getting closer to seeing the launch of the payment initiative. We this in mind, we wanted to find out how P27 will impact the Nordic insurance industry and what the most significant preparation is for the financial institutions. A Lumera Pulse survey was sent to 1 500 recipients working in the Life and Pensions industry in the Nordics.
The new payments initiative, brought by P27 Nordic Payments Platform, has the potential to revolutionize how the Nordic region will do payments and improve trading in and between the Nordic countries. Simpler payment processes and increased transparency are obvious benefits but it will also provide a foundation for the development of improved and innovative services.
To reap the benefits, financial institutions will need to start preparing for real-time payments and the arrival of P27. Actors with a flexible IT-infrastructure will have the advantage, being able to fast launch new services and adapt to new opportunities, while gaining costs savings from the new platform.
At Lumera, we are actively monitoring the development within P27. When launched, insurers with Lumera will be able to reap the benefit of P27. We’re very excited to see what happens next.
Below please find the detailed result of the survey:
1. Which is the biggest impact brought by P27?
The biggest impact brought by P27 is Real-time and cross-border payments (40 %). Second is Increased efficiency (29 %) followed by the Development of new services (27 %) and Reduced system maintenance costs (4 %).
2. Which is the biggest challenge of P27?
The biggest challenge of P27 is Great uncertainty about what actually applies (37 %). Second is The utilization of instant capabilities across borders (21 %) followed by Changing regulations (19 %), Bank-unique supplements (17 %), and Fraud (6 %).
3. Which is the most important benefit of P27?
The most important benefit of P27 is Simpler payment processes (62 %). Second is New value-added payment services (27 %) followed by Increased transparency (6 %) and Improved payment security (5 %).
4. Which is the most significant preparation for P27?
The most significant preparation for P27 is Developing the underlying infrastructure (79 %) followed by Partnering with the right service provider (21 %).
5. Have you started to prepare for P27?
62 % have started to prepare for P27. 23 % have not. 15 % don’t know.
Stay informed – and stay ahead
Keep up to date with the latest insights, advice and opinions from across the industry.
Complete the form to receive relevant insights, event invites and industry news.