Is blockchain technology the latent locus for the future of insurance
Insurance is a contract of ‘utmost good faith’. Therefore, information symmetry and trust management are the core requirements for sustainability of the business. But the changes in today’s demographics and the growth in digital interfaces have led to an exponential rise in service delivery expectations. New financial alternatives and the emerging gig-economy impact the industry as well. All things considered, the industry needs to reinvent itself. And fast! Against this backdrop, blockchain technology’s strengths and advantages in insurance industry appear to be skewed in favor of insurance. From prospecting to claims management, this emerging technology can deliver value in every vertical and function of the insurance business, potentially transforming the current need of reinvention to a positive paradigm shift for the industry.