Despite its relative infancy, the potential for blockchain technology to disrupt the insurance industry and change the way we share data, process claims and prevent fraud is intriguing. Statistics indicate that only 17% of California households carry earthquake insurance even though the likelihood of experiencing losses from an earthquake are high; so can blockchain facilitate trust in such a case? Blockchain and Dapps offer the insurance industry great potential in terms of transparency to streamline the payments of claims and premiums.
These two technologies have the potential to enhance the significant digital transformation that is already taking place in the insurance industry. Data is critical and forms the basis of the industry as well as the transformation. For instance, underwriters and actuaries use the ever expanding space of data to build models which help to accurately estimate risk and then price it accordingly. One of the most exciting models that employ blockchain is telematics.

Insurers are making use of data from sensors to help price motor risk more accurately thus helping in reducing the premiums for the young and safer drivers. This technology is even finding application in home insurance. Another example is everledger which uses blockchain to create a distributed ledger that contains a record particular details for precious stones. This ledger has come in handy in helping insurers trace the history of each stone (including any records of past claims made on the particular stone) and thus detect and prevent any fraudulent activities.

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https://medium.com/ethereum-dapp-builder/heres-how-dapps-will-reinvent-the-insurance-sector-800c66fdf057