Bitcoin in the insurance realm has already been an idea discussed in Europe. However as of recently major insurers in the area have formed what is to be known as the B3i group aimed at delivering a blockchain based insurance solution in line with projects in development at similar collectives such as the R3 consortium.

“We want to be at the heart of these developments and see Blockchain as one of those potential catalysts for change. By actively creating partnerships and making strategic investments we can build smarter solutions together with our clients.”

The delivery of insurance services in their current form is extremely vulnerable to fraud and exploitation as many rely on the trust between various levels of workers. Especially in developing nations where companies face customers who may be illegitimately be attempting to scam for a payout, losses can run into millions often bankrupting many small companies.

Moving to a modern platform will present its own set of challenges as the blockchain system can remain inaccessible to many if not explained properly. However the collective aims to overcome the problem and further promote the use of blockchain under other companies too. allianz insurance

“This initiative, enabling alternative operating models based on the Blockchain technology, can help us increase transparency and efficiency and deliver a better experience to our customer,” Allianz Group COO Christof Mascher said in a statement.

To conclude the potential of Bitcoin in a insurance setting has been highlighted by other projects but is yet to be put into a practical application. Already acknowledge as beneficial for the insurance industry big names such as Alliance have already quoted the transparent and decentralized nature of the blockchain makes it ideal in an industry ultimately based on trust between client and company.

Author

Hi I'm Aleppo Allesadero a experienced bitcoin user and educator. Having worked for over a year in the bitcoin journalism ive seen bitcoin grow from strength to strength asserting its power against fiat currency. Hopefully you too can learn about this exciting new prospect which may help transform the way we see finance and economy on a daily basis.

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