Commerce Bank and Copart Announce Revolutionary Digitized System to Speed Up Insurance Industry’s Salvage Settlement Process

Rhea-AI Summary

Commerce Bank and Copart, Inc. (NASDAQ:CPRT) have launched a new payment system that drastically reduces the typical 30-day settlement period for salvage total loss claims in the insurance industry to just five days. This solution utilizes CommercePayments® PreferPay® to automate several cumbersome processes, enhancing efficiency and providing quicker fund access to consumers. Despite challenges from the COVID-19 pandemic, the partnership aims to process around 1.5 million payments per year. Commerce Bank has $34.5 billion in assets, while Copart leads the online vehicle auction sector.

Positive

• Reduction of settlement time from 30 days to 5 days enhances customer satisfaction.
• Automation of manual processes increases efficiency for Copart's transactions.
• Estimated processing of 1.5 million payments annually strengthens revenue stream.

Negative

• None.

KANSAS CITY, Mo.--(BUSINESS WIRE)-- Commerce Bank and Copart, Inc. (NASDAQ:CPRT), a global online vehicle auction company, announced today the implementation of a revolutionary payment system designed to significantly speed up the time to complete a salvage total loss settlement in the insurance industry.

Traditionally, the long-accepted insurance industry standard for completing the titling paperwork, making multiple phone calls, gathering a letter of guarantee and mailing a settlement check to the customer has been, on average, 30 days.

Commerce and Copart have developed a solution to complete those steps in a fraction of the time for Copart’s transactions using CommercePayments® PreferPay® and have now shortened that 30-day cycle to only five days. This solution automates time-consuming manual processes and expedites the payment process, providing consumers faster access to their funds without increasing the burden on the paying companies.

“We’re thrilled to be able to bring this innovative solution to Copart and to the insurance industry,” said Roger Williams, senior vice president and director in Commercial Payments with Commerce Bank. “Our commitment is to be a collaborative financial partner to our customers and to use innovation to solve real business challenges.”

The COVID-19 pandemic and related business closures, shifts to remote working and significant shipping delays further exposed the need for a streamlined, touchless payments option. Through the Commerce-Copart relationship, an estimated 1.5 million payments from Copart transactions will be processed each year through CommercePayments® PreferPay®.

For more information, visit www.commercebank.com/preferpay and www.copart.com.

About Commerce Bank

With $34.5 billion in assets¹, Commerce Bancshares, Inc. (NASDAQ: CBSH) is a registered bank holding company offering a full line of banking services, including payment solutions, investment management and securities brokerage. Commerce Bank, a subsidiary of Commerce Bancshares, Inc., leverages more than 150 years of proven strength and experience to help individuals and businesses solve financial challenges. In addition to offering payment solutions across the U.S., Commerce Bank currently operates full-service banking facilities across the Midwest including the St. Louis and Kansas City metropolitan areas, Springfield, Central Missouri, Central Illinois, Wichita, Tulsa, Oklahoma City, and Denver. It also maintains commercial offices in Dallas, Houston, Cincinnati, Nashville, Des Moines, Indianapolis, and Grand Rapids. Commerce delivers high-touch service and sophisticated financial solutions at regional branches, commercial offices, ATMs, online, mobile and through a 24/7 customer service line. Learn more at www.commercebank.com.

1. As of September 30, 2021

About Copart

Copart, Inc., founded in 1982, is a global leader in online vehicle auctions. Copart’s innovative technology and online auction platform links sellers to more than 750,000 Members in over 170 countries. The company offers services to process and sell salvage and clean title vehicles to dealers, dismantlers, rebuilders, exporters, and in some cases, to end users. Copart sells vehicles on behalf of insurance companies, banks, finance companies, charities, fleet operators, dealers and individual owners. With operations at over 200 locations in 11 countries, Copart has more than 125,000 vehicles available online every day. Copart currently operates in the United States (Copart.com), Canada (Copart.ca), the United Kingdom (Copart.co.uk), the Republic of Ireland (Copart.ie), Brazil (Copart.com.br), Germany (Copart.de), the United Arab Emirates, Oman and Bahrain (Copartmea.com), Spain (Copart.es) and Finland (Copart.fi). For more information, or to become a Member, visit Copart.com/Register. Join the conversation and follow Copart on Facebook.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211109006102/en/

Julie Krueger, 913.402.8050 or

Julie.Krueger@commercebank.com

Source: Commerce Bank

FAQ

What is the new payment system launched by Commerce Bank and Copart?

The new payment system, CommercePayments® PreferPay®, reduces the salvage total loss settlement period from 30 days to 5 days.

How many payments will Copart process yearly with the new system?

The partnership is expected to process approximately 1.5 million payments annually through the new system.

What is the significance of the partnership between Commerce Bank and Copart?

The partnership enables faster settlements in the insurance sector, improving cash flow for consumers and operational efficiency for Copart.

What is Copart's stock symbol?

Copart's stock symbol is CPRT.

What is Commerce Bank's stock symbol?

Commerce Bank is part of Commerce Bancshares, Inc., which trades under the stock symbol CBSH.