Blockchain in Insurance - Reading Assignment

[ghiasi12reza]

1. international insurance transactions can be significantly accelerated and simplified

2. professional indemnity and property

3. Allianz’s blockchain links to Citi’s CitiConnect API which accepts instructions from the Allianz blockchain and disperse payments, beginning with U.S. dollars and eventually extending into other markets and currencies.

4. They run a private blockchain infrastructure this gives the opportunity of a higher speed

[Cobrati21]

• What issues are they aiming to solve with this blockchain system?
  The blockchain system described in this article solved the issue of accurizing the insurance process of policy renewals, premium payments, and claims submissions and settlement. While the intent was to streamline these processes and unintended benefit was that it also sped up these process.

• What type of insurance are they targeting for this solution?
  They targeted two types of insurance policies, professional indemnity and property.

• How do they manage to disperse payments through the blockchain?
  Allianz corroborates with Citi’s CitiConnect API to disburse payments according to instructions to Citi from Allianz.

• Why is the blockchains processing speed not an issue for this application?
  The focus of implementing blockchain technology for Allianz was in the accurate processing of the large amount of complex data inherent in the insurance business, which was more important than the speed in doing so.

[ChefAbate]

1. Streamlining communication and eliminating the middleman.
2. Property and professional indemnity.
3. The insurance company links to Citi’s API which accepts instructions from the blockchain and disperses payments.
4. For this use case it is not about speed but reliable data being processed accurately.

[Yovan]

@filip

What issues are they aiming to solve with this blockchain system?

Streamlined flow of documents and information transfers
Settle claims faster

@filip

What type of insurance are they targeting for this solution?

Professional indemnity and property

@filip

How do they manage to disperse payments through the blockchain?

By collaborating with a Bank, in this case Citi

@filip

Why is the blockchains processing speed not an issue for this application?

trust and security of the transfers precedes the speed of transactions.

[tuchtech1]

1. What issues are they aiming to solve with this blockchain system?
   The goal was to create insurance process efficiency by putting systems in place to handle transactions where there was normally a large amount of unnecessary human input.
2. What type of insurance are they targeting for this solution?
   The target was professional indemnity and property insurance.
3. How do they manage to disperse payments through the blockchain?
   Smart contracts are set up to automatically receive and record premium payments, handle claims processing and distribute settlements.
4. Why is the blockchains processing speed not an issue for this application?
   The critical factor for the insurance industry is accuracy of data processing more so than speed. Simply eliminating redundant and unnecessary human work is enough to make the process significantly faster and more accurate.

[itraben]

1. Faster and more simple transactions.
2. Professional indemnity and Property.
3. Using the companies API to link insurers to the blockchain.
4. Instant transactions are not a priority in insurance because typically insurance contracts take weeks to process.

[Gus]

1. They needed to solve the communication and sharing information across geographies with multiple parties.
2. The proposed implementation is around captive insurance operation, some sort of self-insurance, in which insured parties can be also owners of the company.
3. Once the claim is made, the instructions are sent to the bank for the corresponding transaction.
4. Normally this transaction would take days, so I guess that a few minutes will be a drastic improvement.

[Cryptoshi007]

@filip

• What issues are they aiming to solve with this blockchain system?
• What type of insurance are they targeting for this solution?
• How do they manage to disperse payments through the blockchain?
• Why is the blockchains processing speed not an issue for this application?

Response:

1. Allianz is focused on dealing with policy renewals, payments, and claims submission/settlements.
2. Professional indemnity and property insurance are their focus.
3. Payments are distributed by connecting with CitiConnect’s API system when policies are triggered.
4. High transaction acceptance is not the focal point of Allianz as they aim to provide more accurate information and correct data on the blockchain.

[javier_ortiz_mir]

1. What issues are they aiming to solve with this blockchain system?
   They were aiming to accelerate and simplify internacional insurance transactions
2. What type of insurance are they targeting for this solution?
   I dont know, I guess several types of insuraces… I understood that this is what it was targeted for: annual policy renewals, premium payments and claims submission and settlement… are these insurances? or processes within different insurance companies? My understanding is that the blockchain was used to simplify and accelerate settlements between different parties involved in an international insurance. For example, my wife and I were in mexico on vacations when she broke a small bone in her foot, so I had to call the number I had from the insurance company, and then they gave me the instructions, so I had to provide different papers (like the exams result, the diagnose, and many others) for the company to finally payed for my expenses, and even some expenses they payed back to me because they needed to confirm some issues which took like 7 days.
3. How do they manage to disperse payments through the blockchain?
   The insurer’s blockchain then links to Citi’s CitiConnect API which can accept instructions from the Allianz blockchain and disperse payments, beginning with U.S. dollars and eventually extending into other markets and currencies
4. Why is the blockchains processing speed not an issue for this application?
   BEcause specifically for this application, it is more important to be able to process large amounts of complex data accurately, than the speed of the transaction itslef

[thecil]

What type of insurance are they targeting for this solution?
Professional indemnity and property. That is basically what the lecture refers to insurance solution.

But overall, your understanding and the example of your wife vacations is completely valid use case, in a future those insurance companies could use blockchain tech to share common data like those paperworks that you had to provide, simply because will be more easy to communicate through different hospital and insurance companies to share common data.

If you have any more questions, please let us know so we can help you!

Carlos Z.

[BradCook]

1. What issues are they aiming to solve with this blockchain system?

Answer: Blockchain delivers most value where there are many intermediaries, because it reduces the need for any specific intermediary,” said Mayank Mishra, global head of digital channel services at Citi. “In most financial services flows there is a party in the middle orchestrating traffic between business participants, but blockchain allows everyone to communicate through the same source so there is no need for any intermediary.”

2. What type of insurance are they targeting for this solution?

Answer: professional indemnity and property

3. How do they manage to disperse payments through the blockchain?

Answer: The insurer’s blockchain then links to Citi’s CitiConnect API which can accept instructions from the Allianz blockchain and disperse payments, beginning with U.S. dollars and eventually extending into other markets and currencies.

4. Why is the blockchains processing speed not an issue for this application?

Answer: While blockchain processing is not the fastest in finance — it dawdles compared to high frequency trading, for example — it is fine for the demands of a captive insurance operation where processing large amounts of complex data accurately is more important than raw speed.

[VanellaVader]

1. This company intended to use a blockchain solution to decrease the time from start to policy, policy to premium and claim to settlement. This can be done by managing the many international transactions that usually happen through many intermediaries and collect premiums from each of their operating companies and pay out claims internationally as they arise.
2. It’s focused on professional indemnity insurance and property insurance and their annual policy renewals, premium payments and claims submission and settlement, with clients with local subsidiaries in the US, China and Switzerland.
3. The insurer’s blockchain then links to Citi’s CitiConnect API which can accept instructions from the Allianz blockchain and disperse payments
4. the demands of a captive insurance operation involve transactions where processing large amounts of complex data accurately is more important than raw speed

[Wxdoc]

1. Allianz is aiming to reduce to middleman (Single Intermediary) that transfers the information from the client to the insurer. The use of blockchain speeds up claim processing and reducing cumbersome communication practices, by having multiple intermediaries contributing thru one source (Hyperledger Fabric platform).

2. Allianz is targeting property and professional indemnity insurance policies, for the blockchain solution.

3. Allianz works with some captive whom is responsible for processing payments. I assume they disperse payment through the blockchain by communicating thru an API with Citi Bank.

4. Blockchains processing speed is not an issue because the insurance company deals with hundreds of offices in many geographic locations. This allows information to be streamlined with accuracy and the users will have a user friendly experience. Therefore, processing large amount of complex data accurately is more important than speed.

[Kim]

1. What issues are they aiming to solve with this blockchain system?
   They are trying to accelerate and simplify international insurance transactions.

2. What type of insurance are they targeting for this solution?
   Professional indemnity and property.

3. How do they manage to disperse payments through the blockchain?
   They link to Citi’s Citiconnect API, which can accept instructions from the Allianz blockchain and disperse payments.

4. Why is the blockchains processing speed not an issue for this application?
   It is fine for the demands of an insurance operation where processing large amounts of complex data accurately is more important than raw speed.

[JCrypto]

1. They are aiming to solve the issue of slow transaction times and stagnant flow of information
   2.Professional Indemnity and Property
   3.The insurance blockchain link’s to the bank’s API which can accept instructions and disperse payments, beginning with US dollars and eventually extending into other markets and currencies
2. Processing large amounts of complex data accurately is more important than raw speed

[Nida_Wilson]

1. The issues of tracking their progress by all participants around the world. The transactions will significantly accelerate and simplified. The new way of doing business and interact to the customers and real feed back.
2. Property and Professional Indemnity.
3. Through API connecting the users.
4. Processing large amount of complex accurate data is important than raw speed.

[levinardo]

1. What issues are they aiming to solve with this blockchain system?
   Complex transaction and information transmission between insurance provider (Allianz) and the bank (Citi)
2. What type of insurance are they targeting for this solution?
   Currently professional indemnity and property
3. How do they manage to disperse payments through the blockchain?
   Insurer’s blockchain links to Citi’s API that can accept instructions from the Allianz blockchain.
4. Why is the blockchains processing speed not an issue for this application?
   They are not relying on the high speed transfer of information, but they intend to have more accurate representation of complex data.

[Alek_Bike]

1. It reduces the need for any specific intermediary, making for faster and still secure transactions.
2. Professional indemnity and Property.
3. Citi’s - CitiConnect API
4. As traditional methods take up to 4 months vs 4 minutes is a game-changer. Security and speed are key.

[crypto_j55]

1. What issues are they aiming to solve with this blockchain system?
   Answer: Accelerate and simplify international insurance transactions

2. What type of insurance are they targeting for this solution?
   Answer: Professional indemnity and property

3. How do they manage to disperse payments through the blockchain?
   Answer: The insurer’s blockchain links to Citi’s CitiConnect API which can accept instructions from the Allianz blockchain and disperse payments, beginning with U.S. dollars and eventually extending into other markets and currencies.

4. Why is the blockchains processing speed not an issue for this application?
   Answer: Blockchain processing speed is fine for the demands of a captive insurance operation where processing large amounts of complex data accurately is more important than raw speed.

[Uyan]

1. Allianz, with the aid of a blockchain system, are aiming to accelerate and simplify the processes of start (of an annual policy renewal) to policy, policy to premium (payments), and claim to settlement.

2. Their focus with this blockchain prototype is on professional indemnity and property.

3. They manage to disperse payments through the blockchain by linking the insurer to “Citi’s CitiConnect API which can accept instructions and disperse payments”.

4. The blockchain’s processing speed, much slower than high frequency trading, is not much of an issue for this application because it is more important that large amounts of (complex) data are processed accurately.