Credit technology provider Abound has launched a new premium finance solution which it claims will “revolutionise” the sector by replacing “slow and outdated direct debit system with instant, automated payments”.

Called Defray, Abound believes the premium finance platform is perfectly timed given the FCA’s market study highlighted “the need for tech-driven advancements”.

Using continuous payment authority – the technology used by subscription services like Netflix, Gusto, and Prime – Defray aims to offer real-time transaction data, simpler onboarding journeys, and enhanced fraud protection.

Despite its size and importance, the insurance sector has lagged behind other financial services in adopting new