Blockchain Technology Could Disrupt The Insurance Industry

As technology advances, traditional financial assets like insurance policies will have to change if they want to compete in our world. Other financial sectors have embraced blockchain technology and cryptocurrencies while insurance lags behind — leaving the industry saddled with expensive, inefficient processes.Customers and clients in the insurance world want to know how blockchain technology can improve their experience with insurance. Does it get cheaper? Faster? Will this make car insurance companies non-existent? Here’s what you need to know.Blockchain and insuranceInsurance processes are very antiquated. Paper contracts and brokers acting as middlemen are just two examples of how the insurance industry is stuck in the past.Every extra step in the process is another place where information can be tampered with or lost. When contracts are processed on paper, unnecessary steps are taken to set up a policy; this leaves more room for error and fraud. The FBI estimates that fraud accounts for more than $40 billion a year in the insurance industry, which adds up to $400 a year to the average person's insurance rates.According to IBM, there are three places where the insurance industry could see significant benefits from blockchain technology:Client Onboarding: It allows for secure sharing of information ...


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