Note from the CEO: Sexy! Cutting edge! Disruptive actions! OK, got your attention but what we have here is……insurance. Yup, behind all the news of banks, robo-advisors, brand new platforms all using blockchain, the “dull old” insurance industry is going through a rapid change too. Ironically, they are at the forefront of fintech and consider it “community based insurance”. This is a VERY insightful article and will open your eyes to an under appreciated industry. Move over Kardashian’s, here comes insurance.
“The general populace typically fears change and shies away from disruptive innovation. The old lamplighters of our past thought the electric light bulb was something born from witchcraft. And even as we have moved on, and are more open-minded, there are still some trappings of fear. However, there are always the few out there who are constantly looking for ways to innovate and reignite progression. The blockchain industry is one of those new technologies that is igniting that very fire within these progressive individuals and companies. Several banks have built a consortium to test out the blockchain to reduce trade times and mitigate the cost. Although, the banking industry isn’t the only sector that’s revolutionizing its old systems and benefitting from the new blockchain technology.
The insurance market is now looking at a revamp and hoping to reap the blockchain benefits as well. People waiting to receive government unemployment insurance (if they’re applicable) may have to wait weeks or even a month before they see a dime. This becomes stressful because while the unemployed individual may actively be looking for work, they still have their bills to pay. Dynamis is a new company that’s utilizing smart contracts for peer to peer insurance that’s built on the Ethereum platform. When a person becomes unemployed, it provides supplementary unemployment insurance by using LinkedIn to verify the claimant’s identity and employment status. Claimants utilize their LinkedIn connections to validate the fact that they are actively looking for work, therefore are able to obtain a new policy or open a new claim.”