Life Insurance and Blockchain

[Beparanf]

I see a lot of companies that are doing as much as possible to use the Blockchain and improve in a lot of ways. But as the second comment have pointed out, there is really nothing interesting in all these things that they mention.

If they are going to talk about making payments, I don’t know for other countries, but Bitcoin wouldn’t be the fastest option, and other cryptocurrencies wouldn’t be as fast as well since you’re still going to have to move that money to your bank account, so why don’t they just send that money to the bank then, than letting you pay extra fees for confirmation while selling your cryptocurrency to get it in your bank? I don’t know for other people, but I don’t look much into these things, they don’t bother me much.

Not only about in payment but also OP mentioned plans of companies in using blockchain. I see the advantage of automatic detection that once you were put Deceased in the government record, will also detect whether that person have existing insurance and your family wil let you know this. We see some applications form insurance in my father's document but not the main policy contract and details about his agent, so we don't know if my father really avails policy before, up to now we still didn't process it since there are many requirements, if goods if it will be decentralised. even it will not affect much the price of cryptocurrencies.

[mezzaluna]

The Key Benefits that this Companies mentioned above are the ff:

1. Fast Claim Processing
In insurance, blockchain can simplify claims processing for the nominee. Once the insurer verifies the claim, it will be recorded on blockchain to trigger the right contract execution.

2. Instant Fund Disbursement
The interaction between insurers and policyholders will become more direct during the claim process. With technology advancement backed by blockchain, insurers will be able to transfer claim proceeds directly into customers’ digital wallets.

3.Help in Fraud Detection
As, a decentralized public ledger, it provides historical data that will help insurers to detect fraudulent activities will help to validate the authenticity of claims, customers and the transactions.

4. Reduce Administrative Cost
Blockchain automated verification of policyholder identity will reduce administrative cost.

5. Ensure Transparency
The blockchain platform can generate new data streams that will provide updated and relevant information for speedier claims processing.

6. Improve Data Quality
Blockchain will improve the data quality of front-end and back-end office sources.


If they will all be successful in developing and implementing their plans, this can be a game changer in different Life Insurance companies.

These are really good points to consider because you are investing on that you can use in the long run and not just any platforms that promotes other things like entertainment. Life insurances must be backed by a really good information since they are investing for their lives. People wont easily trust that just because its Cryptocurrency. They need assurance that they can really use when they really need it.

[Wapfika]

These are really good points to consider because you are investing on that you can use in the long run and not just any platforms that promotes other things like entertainment. Life insurances must be backed by a really good information since they are investing for their lives. People wont easily trust that just because its Cryptocurrency. They need assurance that they can really use when they really need it.

Yes, insurance companies should think out of the box to protect lives of people not just to get money from people. That's why there is a need for people to understand the use of blockchain and how it can show transparency, but there is a need for cooperation of many government agencies to make it happen like what MetLife plans that it will be process in a way that it will be recorded in government files may it be a claim for hospitalization, illness, accident or death. There will be no investigator in between that may deny the claim but only those in hospital, police and the documents section were it might posted deceased needs to be encode to verify the claim. It's somehow far impossible in the moment as many didn't know yet blockchain or cryptocurrency but also didn't want the idea of life insurance.

[erikoy]

The above points are much more helpful in ensuring the benefits of blockchain technology By verifying these we will be able to manage the insurance side better Crypto is a good platform for long-term investments. They are more prone to fraud in insurance There is no long-term guarantee The customer is much harmed But in the case of crypto there is a lot to believe that even if the price goes down it will go up again.

Both are risky actually but insurance also offers good benefits like if being a member can use the medical benefits, travel benefits or other ways that an insurance surely offer. In most cases it is medical insurance because many are aware that it is costly getting sick nowadays. Hospitalization is one of the highest expenses that one may spend.

In regards to crypto this may beat up inflation rate as it seems that time passes by coin market price goes along with it too increasing its market price though still risk is present because it can go either way up or down in terms of market price.

[jseverson]

I actually am a fan of life insurance, and would suggest that people avail of it if they can. I do have concerns of where blockchain technology comes into play here though.

1. Fast Claim Processing
In insurance, blockchain can simplify claims processing for the nominee. Once the insurer verifies the claim, it will be recorded on blockchain to trigger the right contract execution.

Is it really this simple? Insurers are going to conduct their own investigations into claims to prevent fraud regardless, so I'm not sure how a blockchain will speed up the process. Their existing private systems should process things just as quickly after verification.

3.Help in Fraud Detection
As, a decentralized public ledger, it provides historical data that will help insurers to detect fraudulent activities will help to validate the authenticity of claims, customers and the transactions.

What kind of info will they be keeping on the blockchain? What kind of fraudulent activities will have to be monitored here? I could only come up with health records off the top of my head, and I'm pretty sure it's illegal and unethical to publicize that information. I'm not sure how I feel about everyone potentially knowing about my insurance claims either.

Some other users have already pointed it out, but it kinda feels like a gimmick.

[Naida_BR]

Life insurances is one of the most profitable sector in the global economy.
However, I don't think that it can work inside a blockchain. It needs an ecosystem with physical control so this way it will be centralized and it will not have any difference from the traditional life insurance sector.

[ene1980]

1. Fast Claim Processing
In insurance, blockchain can simplify claims processing for the nominee. Once the insurer verifies the claim, it will be recorded on blockchain to trigger the right contract execution.

Introducing a blockchain will not change the verification process as it will be done manually and you are bound to get the right contract execution irrespective of blockchain.

2. Instant Fund Disbursement
The interaction between insurers and policyholders will become more direct during the claim process. With technology advancement backed by blockchain, insurers will be able to transfer claim proceeds directly into customers’ digital wallets.

Even now it s transferred in customers bank wallet, i do no want to see a situation where every company starts their own token because it defeats the purpose of bitcoin.

The only thing that will improve is the data quality but if they are using their own blockchain then there is no security on that aspect too as they can manipulate the data if they are the central authority powering the blockchain.

[target]

Its not that simple. When it comes to life insurance, authorities are always going to be involved because verifying the truth of information is needed.  There will always be an investigation, the insurance company won't just take your report just because its what you report to them. 

Life Insurance in the blockchain is hard to achieve. The project will just add more fraud in the industry if its not coordinated with authorities, projects like this don't have to be decentralized.

[Wapfika]

Its not that simple. When it comes to life insurance, authorities are always going to be involved because verifying the truth of information is needed.  There will always be an investigation, the insurance company won't just take your report just because its what you report to them. 

Life Insurance in the blockchain is hard to achieve. The project will just add more fraud in the industry if its not coordinated with authorities, projects like this don't have to be decentralized.

It will not really be easy and there is a need for coordination between different government agencies. It will only be possible in some countries who are open for adoption of blockchain since this will require their government datas, to show transparency and coordinated verification of the claims. If the government will let this happen, the system will verify the claims as it will detect the database of hospitals, police records and records of death. Only advance countries and big insurance company can make it possible in the future.

[serjent05]

Sounds like an agenda to me.  It does not increase the benefits of the client investing on the Life Insurance.  All those stated benefits/enhancement can be done even without the use of Blockchain technology/cryptocurrency.  All in all, the idea is about riding the trend of the blockchain technology just to produce hype or cater interest to the client.  

[Shasha80]

If you are just ordinary workers do not face the risk of death. You should avoid joining life insurance, because it is less useful you will
continue to pay the insurance premium. Without getting benefits in the short term, it's better money to pay for insurance used to invest
in cryptocurrency is much more feels the benefits. Regarding life insurance, right now can received payment for contributions with crypto,
which is pretty good news in my opinion.Cryptocurrency has begun to be adopted by life insurance, hopefully cryptocurrency is adopted
by other fields as well.

[rodskee]

The Key Benefits that this Companies mentioned above are the ff:

3.Help in Fraud Detection
As, a decentralized public ledger, it provides historical data that will help insurers to detect fraudulent activities will help to validate the authenticity of claims, customers and the transactions.

This one is really important as history from this kind of investment business,
there's chances that inside job might take place
With the  help of blockchain and decentralized system the act can easily be
detected as mentioned.
It will change the perceptions of those investors who will fully understand the
desire of this new system,
Looking forward that it will properly executed and this form of investment
will proceed to successions.

[Natalim]

I am hoping to avail this kind of insurance in the future, it's my first time to know it as I wasn't really looking for an insurance now.
But, for transparency sake, I think insurance using the blockchain provide that to us, and if it's easy to claim and to avail it, this should grow and gain massive adoption in the future, it looks like the world is about to change already, from centralized to now decentralized.

if you didnt see this post , you wont know the benefits of insurances right ?

NO

but now that you know ,  why make such excuse ?  

and NO, because you don't get my point.

Just to clarify, I know what insurance is, but I am new to the insurance in the blcokchain, in fact I have been working in several companies and our company provide us with life insurance, but it's different in blockchain compared to the world outside, and that's why I say it's more transparent here as you can see the transaction online easily and all necessary information can be access anytime.

[btcltcdigger]

Ok, so you take out life insurance and pay in crypto, lets say BTC for argument sake.

With BTC increase in price, would your base insurance also increase? Or is it just a conversion from BTC to fiat?
Additionally, lets say you claim the insurance for whatever reason, you get paid in fiat or crypto?

I think these are 2 important questions that these models need to address.

[Harriti]

This is also one of the pretty good methods of insurance companies now. There have been a lot of problems going on in losing customer information and causing the client's insurance investment to be lost. Blockchain technology will solve this problem and all transaction information will be recorded. This is a very good strategy and insurance companies will also get BTC or top coins at good prices.

[Wapfika]

and NO, because you don't get my point.

Just to clarify, I know what insurance is, but I am new to the insurance in the blcokchain, in fact I have been working in several companies and our company provide us with life insurance, but it's different in blockchain compared to the world outside, and that's why I say it's more transparent here as you can see the transaction online easily and all necessary information can be access anytime.

If many companies will adopt and the government will cooperate it can be possible, BTW its better to have personal insurance, since some company insurance companies were only active as long as you're working in that company and it's only limited with some coverage. But you're indeed lucky that you have company who insured their employees some didn't provide even now that there is a need for protection for everyone.

[Natalim]

and NO, because you don't get my point.

Just to clarify, I know what insurance is, but I am new to the insurance in the blcokchain, in fact I have been working in several companies and our company provide us with life insurance, but it's different in blockchain compared to the world outside, and that's why I say it's more transparent here as you can see the transaction online easily and all necessary information can be access anytime.

If many companies will adopt and the government will cooperate it can be possible, BTW its better to have personal insurance, since some company insurance companies were only active as long as you're working in that company and it's only limited with some coverage. But you're indeed lucky that you have company who insured their employees some didn't provide even now that there is a need for protection for everyone.

That was before, but honestly, I am not really reading the insurance policy since it's free and its for everyone, it's different when you are the one paying as you will look for the best insurance with the cheapest you can get. Blockchain insurance could be the future, but as of now, I think I'd stick with the traditional one until more people will start adopting in our country.

[wxxyrqa]

I believe that life insurance with the use of cryptocurrency is of the same nature as the use of cryptocurrency to buy goods or pay bills. thus, it is possible to pay premiums for insurance not only of life, but also of valuable things, including movable and immovable property. but since each country has its own government policy, which is not always loyal to its people, insurance companies there very rarely respect consumer rights. Although if you take, for example, in the United States, then without insurance you won't even get basic medical care.

[el kaka22]

Insurance companies have one way to make money, they get money from you, use it for investment and probably make a profit, and hope that you do not require the insurance that quickly back and when you do need it back, they will try to challenge you on everything to pay you as little as possible.

Insurance companies are the biggest scams in the world, they do not worth the money you are putting in to them most of the time because if it was worth it, you would have done it yourself, you could have invest, you could have paid, but in the end you would have profited more. Why do they exist and people use it?

Because people want some sort of knowledge about being insured to feel at ease, plus in some countries some insurances are even forced so you have to do it. It is just not a good business model for the customer at all. I hope they stay away from everything in crypto world.

[Findingnemo]

Investing in Life Insurance company is simply wasting your money to be honest, Just invest on health insurance which is offered by the government itself so you need to invest on assets not something which gives you back after our life. When you have lot of money which you got from your investments you won't actually need a life insurance to take care of your family.