Insurance has been around for more than centuries. This risk mitigation strategy has been utilized in maritime commerce as early thousand years ago, where Asian merchant seafarers were pooling together their wares in collective funds to pay for damages of individual’s capsized ship. In 2018, insurance industry made up 6% of global domestic product, and amounted to about 7-9% of the U.S.GDP;2020, the industry net premiums totalled $1.28 trillion, by 2030, blockchain insurance market value is estimated to reach $39.5 Billion. Despite of growing reform, the insurance market is dominated by intermediaries assisting people to match their insurance needs. While many predictions focused on artificial intelligence, cloud computing, blockchain stands out as the most disruptive technology that can change the driving forces underlying the global economy. This paper presents a blockchain business use case and how insurance market can turn disruptive power of this technology into innovative opportunities.
A survey on security and policy aspects of blockchain technologyTELKOMNIKA JOURNAL
This survey talks about the problem of security and privacy in the blockchain ecosystem which is currently a hot issue in the blockchain community. The survey intended to study this problem by considering different types of attacks in the blockchain network with respect to algorithms presented. After a preliminary literature review it seems that some focus has been given to study the first use case while, to the best of my knowledge, the second use case requires more attention when blockchain is applied to study it. The research is also interested in exploring the link between these two use cases to study the overall data ownership preserving accountable system which will be a novel contribution of this work. However, due to the subsequent government mandated secrecy around the implementation of data encryption standard (DES), and the distrust of the academic community because of this, a movement was spawned that put a premium on individual privacy and decentralized control. This movement brought together the top minds in encryption and spawned the technology we know of as blockchain today. This survey explores the genesis of encryption, its early adoption, and the government meddling which eventually spawned a movement which gave birth to the ideas behind blockchain.
Chain Reaction: How Blockchain Technology Might Transform Wholesale InsurancePwC
With the goal to identify where blockchain technologies have the greatest potential, this research report sponsored by PwC and conducted by Z/Yen, is based on 50+ interviews with brokers, insurers, reinsurers, regulators and trade bodies from across the global wholesale insurance market.
Extract from the presentation of Max Lyadvinsky, Bloomio CEO, at the Financial Innovation Summit in Doha, Qatar.
The deck offers an insightful analysis on real blockchain opportunities with a focus on Middle East.
A survey on security and policy aspects of blockchain technologyTELKOMNIKA JOURNAL
This survey talks about the problem of security and privacy in the blockchain ecosystem which is currently a hot issue in the blockchain community. The survey intended to study this problem by considering different types of attacks in the blockchain network with respect to algorithms presented. After a preliminary literature review it seems that some focus has been given to study the first use case while, to the best of my knowledge, the second use case requires more attention when blockchain is applied to study it. The research is also interested in exploring the link between these two use cases to study the overall data ownership preserving accountable system which will be a novel contribution of this work. However, due to the subsequent government mandated secrecy around the implementation of data encryption standard (DES), and the distrust of the academic community because of this, a movement was spawned that put a premium on individual privacy and decentralized control. This movement brought together the top minds in encryption and spawned the technology we know of as blockchain today. This survey explores the genesis of encryption, its early adoption, and the government meddling which eventually spawned a movement which gave birth to the ideas behind blockchain.
Chain Reaction: How Blockchain Technology Might Transform Wholesale InsurancePwC
With the goal to identify where blockchain technologies have the greatest potential, this research report sponsored by PwC and conducted by Z/Yen, is based on 50+ interviews with brokers, insurers, reinsurers, regulators and trade bodies from across the global wholesale insurance market.
Extract from the presentation of Max Lyadvinsky, Bloomio CEO, at the Financial Innovation Summit in Doha, Qatar.
The deck offers an insightful analysis on real blockchain opportunities with a focus on Middle East.
Extract from the presentation of Max Lyadvinsky, Bloomio CEO, at the Financial Innovation Summit in Doha, Qatar.
The deck offers an insightful analysis on real blockchain opportunities with a focus on Middle East.
How Blockchain Can Reinvigorate Facultative Reinsurance Contract ManagementCognizant
Blockchain is ideally suited for streamlining and securing the cumbersome facultative reinsurance contract management process by offering trust and transparency and all the benefits of smart contracts.
Using blockchain to get ahead of the game: Creating trust and driving operati...Accenture Insurance
The rise of blockchain promises to bring disruption to commercial insurance by fundamentally reshaping principles and processes that have governed the industry since the 17th century. Blockchain offers a more efficient alternative to the processes the insurance industry developed as an answer to the absence of mutual trust between affected parties and a lack of end-to-end transaction transparency.
In this report we address how blockchain can create trust and drive operational excellence, and we assess its wider implications for commercial insurance brokers.
Decrypting Insurance Broking through BlockchainCognizant
Blockchain technology could help brokers maximize their operational efficiencies by using smart contracts to automate key processes, freeing them to focus on value-added services that drive customer loyalty.
The insurance industry is sure that Blockchain will evolve to stay competitive, and it has the potential of streamlining processes and meeting the demands of technology-savvy customers. Blockchain platforms help insurance companies deal with current challenges and develop a transparent operations system built on trust and stability.
Blockchain and it’s importance on Insurance IndustryArtivatic.ai
Blockchain is a distributed ledger that is broadly discussed as a technology with huge innovation potential in all areas of financial services To date, it is largely in the banking arena where blockchain use cases have been identified. However
the blockchain technology also offers potential use cases for insurers that include innovating insurance products and services for growth, increasing effectiveness in fraud detection and pricing, and reducing administrative cost In these application areas insurers
could address some of the main challenges they are facing today such as limited growth in mature markets and cost reduction pressures.
How Blockchain App Development is Paving the Way for the FutureDamco Solutions
Blockchain applications can serve as a trading and financing instrument to ensure distributed ledger-backed payments. Finance and Banking services have taken a lead in Blockchain app development. For more in detail, please visit - https://www.damcogroup.com/blogs/how-blockchain-app-development-is-paving-the-way-for-the-future/
An insightful and information packed White Paper on Cloud Security. A must read for ALL C-level business leaders. Moving to the Cloud does not change the responsibility back to the business, but it does change your risk profile.
Blockchain Technology And Innovation In Insurance SectorBlockchain Council
Despite being existent for centuries, unfortunately, the Insurance industry has not yet overcome the inefficient practices and slow processes continuing from the past. The trend of paper contracts, purchase of new policies on phone calls, and many more conventional trends are still going on. In short, the insurance industry still has obstacles to overcome. It seems possible only with Blockchain technology implementation as it can provide complete accountability, transparency, and superior security assurance. These features of Blockchain technology can help insurers save time and costs of processing, and it can also improve customer satisfaction levels.
These possibilities with Blockchain have made banking and insurance industries embracing Blockchain. The insurance industry is sure that Blockchain will evolve to stay competitive, and it has the potential of streamlining processes and meeting the demands of technology-savvy customers. Blockchain platforms help insurance companies deal with current challenges and develop a transparent operations system built on trust and stability.
Insurers are exploring the blockchain as they see vast potential in this new technology, most common research topics being : travel insurance and crop insurance. With crop insurance : If the bad weather causes any damage to the crops then a smart contract can confirm the loss using weather data and pay claims automatically. Similarly, in case of travel insurance, if the flights gets cancelled by the airline due to a covered reason, then a smart contract built using blockchain technology could automatically enact payment to those with insurance.
The Internet of Things (IoT) has been developing over the last 20 years and is often referred to as Industry 4.0 or the “fourth industrial revolution.” It is an umbrella term for all the digital assets and entities connected to the internet. Many of these are intangibles, such as data, human capital via artificial intelligence (AI), intellectual property (IP), and cyber; as such, they need to be made tangible to address value on a balance sheet. Others are connected entities, such as sensor devices, collecting and receiving information in an intelligent fashion across networks.
Blockchain for automotive: An insight towards the IPFS blockchain-based auto ...IJECEIAES
The advancing technology and industrial revolution have taken the automotive industry by storm in recent times. The auto sector’s constantly growing demand has paved the way for the automobile sector to embrace new technologies and disruptive innovations. The multi-trillion dollar, complex auto insurance sector is still stuck in the regulations of the past. Most of the customers still contact the insurance company by phone to buy new policies and process existing insurance claims. The customers still face the risk of fraudulent online brokers, as policies are mostly signed and processed on papers which often require human supervision, with a risk of error. The insurance sector faces a threat of failure due to losing and misconception of policies and information. We present a decentralized IPFS and blockchain-based framework for the auto insurance sector that regulates the activities in terms of insurance claims for automobiles and automates payments. This article also discusses how blockchain technology’s features can be useful for the decentralized autonomous vehicle’s ecosystem.
Blockchain in Insurance: Risk Not, Reap NotCognizant
Blockchain is poised to rewrite the rules of competition in the insurance industry. Insurance and reinsurance companies need to act now to begin learning how they can apply this evolving technology to best address their business challenges, our latest research finds.
Water scarcity is the lack of fresh water resources to meet the standard water demand. There are two type of water scarcity. One is physical. The other is economic water scarcity.
Extract from the presentation of Max Lyadvinsky, Bloomio CEO, at the Financial Innovation Summit in Doha, Qatar.
The deck offers an insightful analysis on real blockchain opportunities with a focus on Middle East.
How Blockchain Can Reinvigorate Facultative Reinsurance Contract ManagementCognizant
Blockchain is ideally suited for streamlining and securing the cumbersome facultative reinsurance contract management process by offering trust and transparency and all the benefits of smart contracts.
Using blockchain to get ahead of the game: Creating trust and driving operati...Accenture Insurance
The rise of blockchain promises to bring disruption to commercial insurance by fundamentally reshaping principles and processes that have governed the industry since the 17th century. Blockchain offers a more efficient alternative to the processes the insurance industry developed as an answer to the absence of mutual trust between affected parties and a lack of end-to-end transaction transparency.
In this report we address how blockchain can create trust and drive operational excellence, and we assess its wider implications for commercial insurance brokers.
Decrypting Insurance Broking through BlockchainCognizant
Blockchain technology could help brokers maximize their operational efficiencies by using smart contracts to automate key processes, freeing them to focus on value-added services that drive customer loyalty.
The insurance industry is sure that Blockchain will evolve to stay competitive, and it has the potential of streamlining processes and meeting the demands of technology-savvy customers. Blockchain platforms help insurance companies deal with current challenges and develop a transparent operations system built on trust and stability.
Blockchain and it’s importance on Insurance IndustryArtivatic.ai
Blockchain is a distributed ledger that is broadly discussed as a technology with huge innovation potential in all areas of financial services To date, it is largely in the banking arena where blockchain use cases have been identified. However
the blockchain technology also offers potential use cases for insurers that include innovating insurance products and services for growth, increasing effectiveness in fraud detection and pricing, and reducing administrative cost In these application areas insurers
could address some of the main challenges they are facing today such as limited growth in mature markets and cost reduction pressures.
How Blockchain App Development is Paving the Way for the FutureDamco Solutions
Blockchain applications can serve as a trading and financing instrument to ensure distributed ledger-backed payments. Finance and Banking services have taken a lead in Blockchain app development. For more in detail, please visit - https://www.damcogroup.com/blogs/how-blockchain-app-development-is-paving-the-way-for-the-future/
An insightful and information packed White Paper on Cloud Security. A must read for ALL C-level business leaders. Moving to the Cloud does not change the responsibility back to the business, but it does change your risk profile.
Blockchain Technology And Innovation In Insurance SectorBlockchain Council
Despite being existent for centuries, unfortunately, the Insurance industry has not yet overcome the inefficient practices and slow processes continuing from the past. The trend of paper contracts, purchase of new policies on phone calls, and many more conventional trends are still going on. In short, the insurance industry still has obstacles to overcome. It seems possible only with Blockchain technology implementation as it can provide complete accountability, transparency, and superior security assurance. These features of Blockchain technology can help insurers save time and costs of processing, and it can also improve customer satisfaction levels.
These possibilities with Blockchain have made banking and insurance industries embracing Blockchain. The insurance industry is sure that Blockchain will evolve to stay competitive, and it has the potential of streamlining processes and meeting the demands of technology-savvy customers. Blockchain platforms help insurance companies deal with current challenges and develop a transparent operations system built on trust and stability.
Insurers are exploring the blockchain as they see vast potential in this new technology, most common research topics being : travel insurance and crop insurance. With crop insurance : If the bad weather causes any damage to the crops then a smart contract can confirm the loss using weather data and pay claims automatically. Similarly, in case of travel insurance, if the flights gets cancelled by the airline due to a covered reason, then a smart contract built using blockchain technology could automatically enact payment to those with insurance.
The Internet of Things (IoT) has been developing over the last 20 years and is often referred to as Industry 4.0 or the “fourth industrial revolution.” It is an umbrella term for all the digital assets and entities connected to the internet. Many of these are intangibles, such as data, human capital via artificial intelligence (AI), intellectual property (IP), and cyber; as such, they need to be made tangible to address value on a balance sheet. Others are connected entities, such as sensor devices, collecting and receiving information in an intelligent fashion across networks.
Blockchain for automotive: An insight towards the IPFS blockchain-based auto ...IJECEIAES
The advancing technology and industrial revolution have taken the automotive industry by storm in recent times. The auto sector’s constantly growing demand has paved the way for the automobile sector to embrace new technologies and disruptive innovations. The multi-trillion dollar, complex auto insurance sector is still stuck in the regulations of the past. Most of the customers still contact the insurance company by phone to buy new policies and process existing insurance claims. The customers still face the risk of fraudulent online brokers, as policies are mostly signed and processed on papers which often require human supervision, with a risk of error. The insurance sector faces a threat of failure due to losing and misconception of policies and information. We present a decentralized IPFS and blockchain-based framework for the auto insurance sector that regulates the activities in terms of insurance claims for automobiles and automates payments. This article also discusses how blockchain technology’s features can be useful for the decentralized autonomous vehicle’s ecosystem.
Blockchain in Insurance: Risk Not, Reap NotCognizant
Blockchain is poised to rewrite the rules of competition in the insurance industry. Insurance and reinsurance companies need to act now to begin learning how they can apply this evolving technology to best address their business challenges, our latest research finds.
Water scarcity is the lack of fresh water resources to meet the standard water demand. There are two type of water scarcity. One is physical. The other is economic water scarcity.
Welcome to WIPAC Monthly the magazine brought to you by the LinkedIn Group Water Industry Process Automation & Control.
In this month's edition, along with this month's industry news to celebrate the 13 years since the group was created we have articles including
A case study of the used of Advanced Process Control at the Wastewater Treatment works at Lleida in Spain
A look back on an article on smart wastewater networks in order to see how the industry has measured up in the interim around the adoption of Digital Transformation in the Water Industry.
Immunizing Image Classifiers Against Localized Adversary Attacksgerogepatton
This paper addresses the vulnerability of deep learning models, particularly convolutional neural networks
(CNN)s, to adversarial attacks and presents a proactive training technique designed to counter them. We
introduce a novel volumization algorithm, which transforms 2D images into 3D volumetric representations.
When combined with 3D convolution and deep curriculum learning optimization (CLO), itsignificantly improves
the immunity of models against localized universal attacks by up to 40%. We evaluate our proposed approach
using contemporary CNN architectures and the modified Canadian Institute for Advanced Research (CIFAR-10
and CIFAR-100) and ImageNet Large Scale Visual Recognition Challenge (ILSVRC12) datasets, showcasing
accuracy improvements over previous techniques. The results indicate that the combination of the volumetric
input and curriculum learning holds significant promise for mitigating adversarial attacks without necessitating
adversary training.
About
Indigenized remote control interface card suitable for MAFI system CCR equipment. Compatible for IDM8000 CCR. Backplane mounted serial and TCP/Ethernet communication module for CCR remote access. IDM 8000 CCR remote control on serial and TCP protocol.
• Remote control: Parallel or serial interface.
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• Remote control system for accessing CCR and allied system over serial or TCP.
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Technical Specifications
Indigenized remote control interface card suitable for MAFI system CCR equipment. Compatible for IDM8000 CCR. Backplane mounted serial and TCP/Ethernet communication module for CCR remote access. IDM 8000 CCR remote control on serial and TCP protocol.
Key Features
Indigenized remote control interface card suitable for MAFI system CCR equipment. Compatible for IDM8000 CCR. Backplane mounted serial and TCP/Ethernet communication module for CCR remote access. IDM 8000 CCR remote control on serial and TCP protocol.
• Remote control: Parallel or serial interface
• Compatible with MAFI CCR system
• Copatiable with IDM8000 CCR
• Compatible with Backplane mount serial communication.
• Compatible with commercial and Defence aviation CCR system.
• Remote control system for accessing CCR and allied system over serial or TCP.
• Indigenized local Support/presence in India.
Application
• Remote control: Parallel or serial interface.
• Compatible with MAFI CCR system.
• Compatible with IDM8000 CCR.
• Compatible with Backplane mount serial communication.
• Compatible with commercial and Defence aviation CCR system.
• Remote control system for accessing CCR and allied system over serial or TCP.
• Indigenized local Support/presence in India.
• Easy in configuration using DIP switches.
Hybrid optimization of pumped hydro system and solar- Engr. Abdul-Azeez.pdffxintegritypublishin
Advancements in technology unveil a myriad of electrical and electronic breakthroughs geared towards efficiently harnessing limited resources to meet human energy demands. The optimization of hybrid solar PV panels and pumped hydro energy supply systems plays a pivotal role in utilizing natural resources effectively. This initiative not only benefits humanity but also fosters environmental sustainability. The study investigated the design optimization of these hybrid systems, focusing on understanding solar radiation patterns, identifying geographical influences on solar radiation, formulating a mathematical model for system optimization, and determining the optimal configuration of PV panels and pumped hydro storage. Through a comparative analysis approach and eight weeks of data collection, the study addressed key research questions related to solar radiation patterns and optimal system design. The findings highlighted regions with heightened solar radiation levels, showcasing substantial potential for power generation and emphasizing the system's efficiency. Optimizing system design significantly boosted power generation, promoted renewable energy utilization, and enhanced energy storage capacity. The study underscored the benefits of optimizing hybrid solar PV panels and pumped hydro energy supply systems for sustainable energy usage. Optimizing the design of solar PV panels and pumped hydro energy supply systems as examined across diverse climatic conditions in a developing country, not only enhances power generation but also improves the integration of renewable energy sources and boosts energy storage capacities, particularly beneficial for less economically prosperous regions. Additionally, the study provides valuable insights for advancing energy research in economically viable areas. Recommendations included conducting site-specific assessments, utilizing advanced modeling tools, implementing regular maintenance protocols, and enhancing communication among system components.
Final project report on grocery store management system..pdfKamal Acharya
In today’s fast-changing business environment, it’s extremely important to be able to respond to client needs in the most effective and timely manner. If your customers wish to see your business online and have instant access to your products or services.
Online Grocery Store is an e-commerce website, which retails various grocery products. This project allows viewing various products available enables registered users to purchase desired products instantly using Paytm, UPI payment processor (Instant Pay) and also can place order by using Cash on Delivery (Pay Later) option. This project provides an easy access to Administrators and Managers to view orders placed using Pay Later and Instant Pay options.
In order to develop an e-commerce website, a number of Technologies must be studied and understood. These include multi-tiered architecture, server and client-side scripting techniques, implementation technologies, programming language (such as PHP, HTML, CSS, JavaScript) and MySQL relational databases. This is a project with the objective to develop a basic website where a consumer is provided with a shopping cart website and also to know about the technologies used to develop such a website.
This document will discuss each of the underlying technologies to create and implement an e- commerce website.
Saudi Arabia stands as a titan in the global energy landscape, renowned for its abundant oil and gas resources. It's the largest exporter of petroleum and holds some of the world's most significant reserves. Let's delve into the top 10 oil and gas projects shaping Saudi Arabia's energy future in 2024.
Explore the innovative world of trenchless pipe repair with our comprehensive guide, "The Benefits and Techniques of Trenchless Pipe Repair." This document delves into the modern methods of repairing underground pipes without the need for extensive excavation, highlighting the numerous advantages and the latest techniques used in the industry.
Learn about the cost savings, reduced environmental impact, and minimal disruption associated with trenchless technology. Discover detailed explanations of popular techniques such as pipe bursting, cured-in-place pipe (CIPP) lining, and directional drilling. Understand how these methods can be applied to various types of infrastructure, from residential plumbing to large-scale municipal systems.
Ideal for homeowners, contractors, engineers, and anyone interested in modern plumbing solutions, this guide provides valuable insights into why trenchless pipe repair is becoming the preferred choice for pipe rehabilitation. Stay informed about the latest advancements and best practices in the field.
AKS UNIVERSITY Satna Final Year Project By OM Hardaha.pdf
TURNING THE DISRUPTIVE POWER OF BLOCKCHAIN IN THE INSURANCE MARKET INTO INNOVATIVE OPPORTUNITIES
1. International Journal of Network Security & Its Applications (IJNSA) Vol.14, No.6, November 2022
DOI: 10.5121/ijnsa.2022.14601 1
TURNING THE DISRUPTIVE POWER OF
BLOCKCHAIN IN THE INSURANCE MARKET
INTO INNOVATIVE OPPORTUNITIES
Wadnerson Boileau
University of South Florida (USF), United States of America
ABSTRACT
Insurance has been around for more than centuries. This risk mitigation strategy has been utilized in
maritime commerce as early thousand years ago, where Asian merchant seafarers were pooling together
their wares in collective funds to pay for damages of individual’s capsized ship. In 2018, insurance
industry made up 6% of global domestic product, and amounted to about 7-9% of the U.S.GDP;2020, the
industry net premiums totalled $1.28 trillion, by 2030, blockchain insurance market value is estimated to
reach $39.5 Billion. Despite of growing reform, the insurance market is dominated by intermediaries
assisting people to match their insurance needs. While many predictions focused on artificial intelligence,
cloud computing, blockchain stands out as the most disruptive technology that can change the driving
forces underlying the global economy. This paper presents a blockchain business use case and how
insurance market can turn disruptive power of this technology into innovative opportunities.
KEYWORDS
Blockchain, insurance, risk management, process improvement, claims processing
1. INTRODUCTION
Blockchain in recent years becomes one of most powerful technologies in the academic sector
and financial industry. This technology is constantly progressing to prove its potentiality to
digitally transforming processes inside and outside organizations and influencing coordination as
a mechanism to rule companies. Financial sector in many instances relies on blockchain to find
durable solutions to some of the common problems faced in the insurance industry including
lower frictional cost of frivolous claims, increasing efficiency and service delivery through
technological innovations, and growing the customer base through trust. The paper aims to
provide a clear-eyed view of how blockchain can be used in the insurance industry for process
innovation. Throughout this paper, we focus on business blockchain use case showing where the
technology can bring efficiencies which enables the sector to turn the disruptive power of
blockchain into opportunities.
2. LITERATURE REVIEW
2.1. Blockchain – how it works
Blockchain is a 40-year technology consisting of taking cryptographic hash, electronic signature,
adding them up inside a block (information container), and chaining them together in a way that
is permanent and unalterable. It is the underlying digital foundation that supports applications
such as Bitcoin, Ethereum, Litecoin, etc. This emerging technology enhances the process of
storing transactions and tracing assets in a cooperate network.
2. International Journal of Network Security & Its Applications (IJNSA) Vol.14, No.6, November 2022
2
Figure 1. How blockchain technology works
2.2. Smart Contract
A conventional contract is an agreement between two or more parties that is enforceable by law;
a smart contract is an agreement between two or more parties that lives on a blockchain and is
enforceable by code.
2.3. Cryptocurrency
A cryptocurrency is a digital currency that relies on cryptography to secure the creation of new
currency and transfer of funds, removing the need for a central issuing authority such as a central
bank.
2.4. Distributed
All transactions can be seen on a distributed database; they can be validated by every partaking
node contingent on the uniform rules [1]. Cryptography and consensus algorithms are
fundamentally utilized to validate transactions, update the ledger, and maintain the core network
security.
2.5. Auditability
In the distributed ledger, every transaction is "validated and recorded with a timestamp”, this
enables users to verify and trace the previous records from any node in the distributed network. It
improves the traceability and the transparency of the data stored in the blockchain.
3. International Journal of Network Security & Its Applications (IJNSA) Vol.14, No.6, November 2022
3
2.6. Immutability
Once a transaction has beencompleted in a blockchain network, the immutability of blockchain
makes it nearly impossible to make changes, which increases confidence in data integrity and
reduces opportunities for fraud.
3. CHALLENGES
Insurance industry encounters numerous challenges, and they keep growing over the time to
become more consistent and complex. More recently, many insurance experts turn their attention
to the potential of blockchain to address long-standing challenges related to the industry future
and blockchain technology adoption. There are plenty of obstacles identified, but global
regulations, trust and lack of accounting standards are eminent challenges for the world facing
blockchain adoption [8].
3.1. (RE)Insurance Industry Challenges
Nowadays, when it comes to support, it’s not a secret for anyone in service industries that
customer needs and expectations are increasing and getting higher than ever before. High
customer expectations lead to new challenges and create needs for new standards of services by
insurance companies. The central finding of this document is that blockchain solutions have the
potential to increase efficiency and improve outcomes, that can force the sector to find out ways
to address the following challenges: (1) (re)insurers store fragmented records about assets,
providers, and policyholders on various systems simultaneously, and the will of implementing
blockchain based innovation is not an easy decision to pursue. (2) insurance applications fail to
provide robust measures to secure participants information. (3) lack of visibility when
information is sharing between insurers, peers, providers, claimants. (4) carriers are gathering
pertinent information and documents from multiple sources. (5) multiple handoffs between
systems contributors increasing time, cost, and risk of fraud.
3.2. Challenges for Blockchain Adoption
Like every technology, blockchain comes with multiple forms of challenges for its mass
adoption. One of the major concerns in this adoption is in terms of security. Scalability of
blockchain technology constitutes another major challenge for its adoption and implementation;
transactions in blockchain system are validated through consensus mechanisms, the continuous
replication, and the immutability of this technology lead to ever-growing amount of stored data.
Industry professionals still want to see how well blockchain solution can perform in terms of
integration with legacy systems to reduce total cost of its implementation. Other obstacle that
needs to take into consideration is the lack of legal and regulatory framework since organizations
have complex business rules and regulatory obligation to comply with.
3.3. Trust in Digital Economy
The key denominator of any economic or financial exchange is TRUST. Digital economy is an
economy based on electronic goods and services and created by an electronic business. behind
each transaction that is taking place requires the intervention of a trusted third party, even to
claim ownership of an asset we rely on central authorities to verify and confirm our property
rights [6].Since last decade, we have noticed a phenomenon called “Erosion of Trust” which is
expressed as: distrust of central authority, the desire for freedom, the desire for privacy and
anonymity, the distrust of intermediaries, and the distrust of corporations. First, and most
4. International Journal of Network Security & Its Applications (IJNSA) Vol.14, No.6, November 2022
4
obvious, are the fees that intermediaries charge for their services, which can be quite high.
Secondly, relying on third party also implies cybersecurity risks, as retaining sensitive data on
centralized servers creates a single point of failure for bad actors. Lastly, public confidence in
financial establishments significantly deteriorated during the global financial crisis, and it may be
more than mere coincidence that the Bitcoin protocol, which attempted to provide an alternative
to the traditional financial system, was introduced in October 2008, as the global financial crisis
was taking hold.
4. DRIVING FORCES AND OPPORTUNITIES
In recent years, multiple forces contribute to shape the future of the insurance market. Emerging
technologies such as blockchain and artificial intelligence (AI), consumer expectations have
become predominant drivers that have inflamed the competitive environment. According to
Gartner.com, “by 2023 35% of enterprise blockchain applications will integrate with
decentralized applications and services”[7]. The adoption of distributed ledger technologies by
Payment networks along with decentralized finance (DeFi) applications are among of key drivers
of the blockchain technology. The biggest concern remains the ability of blockchain
implementation to eliminate the middlemen like brokers and agents sooner or later from the
business process model of the insurance industry.
4.1. Emerging Technologies
The evolution of emerging technologies such as blockchain, artificial intelligence (AI), and
machine learning offer a great opportunity for the current insurance system into a type of digital
insurance platform. This approach will create new value, and new concept like “InsurTech” that
stands for Insurance and Technology which is an insurance version of Fintech. The objective is to
leverage technology power to increase productivity and efficiency in this market. To have an idea
of how this technology could impact the global economy, on October 13th, 2020, London-UK, a
report produced by PwC states Blockchain technology has the potential to boost global gross
domestic product (GDP) by US$1.76 trillion over the next decade [5].
4.2. Customer Expectations
Many studies suggest that customer expectations are highest that it has never been before. Policy
holders, beneficiaries, and other participants expect personalized and fast service at their finger.
This new ongoing trend of social and technology are shaking in many ways the regular business
patterns in the sector. Insurance agencies need to ensure customers their information remains
private and have adequate measures in place to secure while sharing data with other entities.
Prospects like options”and they are generally looking for advises and recommendations from the
industry’s Professionals. By establishing a consistent communication with their customers and
assisting them in shopping process, are the effective ways for insurers to elevate customer service
experiences.
4.3. Innovation and Disruption
Stephan Binder of McKinsey & Company characterizes the insurance industry as slow to change.
He suggests that in the next 10 years, 40% of the insurance jobs that exists today will be gone,
and 20% of the jobs in the future will be new. Conventional insurers and reinsurers are utilizing
emerging technology to bring certain efficiencies into the industry which could potentially lead to
higher financial gain or a more favorable competitive edge [10]. It may also result in a
competitive drawback due to their long-established business models and their high-value
5. International Journal of Network Security & Its Applications (IJNSA) Vol.14, No.6, November 2022
5
investments in infrastructure. However, a growing number of newly formed insurers are focusing
on consumers by offering better products and services with new business models designed to
disrupt the traditional market. Despite of those pain points, new start-up carriers can take these
opportunities to build a unique or different business model designed to exploit weaknesses in old-
fashioned insurance’s operations [9].
4.4. Insurance Market Initiatives and Ecosystem
Among Fintech initiatives, there are two major players capturing our attention: B3i - Launched in
2016, Blockchain Insurance Industry Initiative (https://b3i.tech/) which is an international
industry blockchain technology consortium, its main purpose is to improve successes in data
exchange among insurance and reinsurance enterprises [2].
RiskStreamCollaborative (https://web.theinstitutes.org/riskstream-collaborative) is the risk
management and insurance industry's largest enterprise-level blockchain consortium that
connects experts and developers to advance insurance specific use cases states its vision is to
advance blockchain technologies and its capabilities to streamlining and bringing efficiencies in
all areas of the risk management and insurance industries.
Figure 2. Blockchain insurance ecosystem
5. BLOCKCHAIN BUSINESS USE CASE
5.1. Insurance Claim Management
Majorly, there are two types of insurance product: life insurance and general insurance. We
encounter two main categories of life insurance – permanent and term [3]. General insurance in
other hand deals more with other form insurance related to valuables such as home, car, goods,
and other hazard like fire. It is divided into parts namely motor insurance, health insurance,
1
2
3
4
5
6
Insurers
Brokers
(Re)Insurers,
Brokers,
Carriers,
Reinsurers
Suppliers
Developers,
Engineers,
Blockchain
builders,
Healthcare
Providers
Policyholder
Insured,
claimants,ben
eficiary
Government
Agencies, Law
enforcement,
Legislators/Regulato
rs, DOI, NAIC
Not-For-Profit
Associations,
Consortia,
Academia,
Training
Providers
Collaborators
Legal entities,
Bank/Auditors
, Financial
Institutions
6. International Journal of Network Security & Its Applications (IJNSA) Vol.14, No.6, November 2022
6
combined, comprehensive and package policies, property insurance, pecuniary insurance, and
casualty insurance.
The following business use case is proving (re)insurance sector can leverage blockchain
technology to streamline claims process, by reducing the industry average touch points from 26
to 7, cutting down the times for claims processing from 7-15 days to 72 hours, and lowering
insurance premiums by 15% [4].
Figure 3. Claim/Benefit management use case
6. CONCLUSIONS
As has been noted, in section 3, we provide challenges for the insurance industry based on
blockchain technology, section 5explains how blockchain can bring value and enable innovation
in the value chain of the industry invariable giving rise to a new business model. As has been
demonstrated, insurance industry can leverage blockchain technology to enrich crucial processes
like claim submission and processing, anti-money laundering, fraud prevention. Firstly, while
blockchain technology is making its baby steps, there are several promising use cases and
applications for it in the insurance industry. We have already seen areas blockchain can lower
operational cost and automate redundant process. Secondly, from the industry perspective, we
discovered there is a great need for insurance companies to align around standards and processes
within blockchain. While blockchain technology is developing better tools and framework for
this market to collaborating and sharing data, insurance agencies themselves and other entities
part of this ecosystem like regulators, financial institutions, and government must be willing to
work with each other. The technology must go further in terms of development to address privacy
and security, especially for public blockchain where everyone has access to each transaction in
the ledger. Finally, since the insurance is highly regulated sector, legislators and regulators need
to provide legal and regulatory frameworks, in addition laws and procedures currently in place
for the technology to succeed.
7. International Journal of Network Security & Its Applications (IJNSA) Vol.14, No.6, November 2022
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AUTHOR
Wadnerson Boileau, has a Master of Science in Business Analytics & Information
Systems (2021) from University of South Florida (USF),and a bachelor’s degree in
Electronic Engineering from State University of Haiti(UEH). He started his career as
Analyst Programmer/Developer where he built software for small businesses. In 2003,
he became SAS Certified while implementing SAS Project for Haiti Central Bank. He
joined an Oracle partner company providing support in processes and documentation. In
2014, after getting his Florida Licensed insurance, he worked with multiple Fortune U.S. 500companies as
Financial Consultant. In 2019, he earned two Blockchain certifications.