Technology experts team up, bringing the insurance industry closer to the digital age
Acronis is proud to announce a new partnership Raxel Telematics—a leading telematics services provider in Southeast Asia—that aims to revolutionize the insurance industry through the adoption of Blockchain technology to protect the integrity of and immutability of insurance data.
The new partnership with Raxel Telematics will extend the application of Acronis’ blockchain-based solutions such as Acronis Notary and Acronis ASign to the insurance industry and beyond, giving businesses powerful tools to validate important data.
The blockchain technology market is tipped to reach $7.74 billion by 2024, in response to the companies using blockchain as an electronic transaction-processing and record-keeping system. Distributed database architecture, strong encryption and decentralized management make blockchain a perfect engine to guarantee data authenticity in industries that fully rely on the integrity of the processed data.
“Acronis blockchain-based data verification technology will enable insurers and businesses in other industries to verify data integrity. In the age of raging cyber-attacks, where data has become the primary target for criminal activity, it has a great potential to prevent fraud, reduce data processing cost, and increase transparency,” said Serguei Beloussov, founder and CEO of Acronis.
Blockchain technology is not just a fancy buzzword. In a typical motor insurance scam, for example, drivers deliberately stage or fake accidents, then make various false and illegal claims against insurers. These so-called “crash for cash” scams cost the industry around SG$700 million a year, according to the Deloitte Blockchain Applications in Insurance report. Where claims are made against multiple policies held by different insurers, it becomes difficult to detect fraud unless cross-industry data is shared. “Smart contracts” powered by blockchain could provide customers and insurers with the means to manage claims in a transparent, responsive and irrefutable manner. Contracts and claims could be recorded onto a blockchain and be validated by the network; ensuring only valid claims are paid. For example, the blockchain would reject multiple claims for one accident by detecting that a claim has already been made. “Smart contracts” would also enforce the claims, for instance, triggering payments automatically when certain conditions are met and validated.
Within a shared economy, usage-based models and internet of things, connected customers will demand an improved user experience, based on digital insurance solutions. The golden opportunity to innovate—and the real challenge lie—in introducing new service concepts, and automating existing business processes and customer interactions, rather than in bringing new technologies to the general insurance market.
“Our goal is to disrupt one specific area at a time and address the most common risk-based problems that our insurance customers face. Automating claims is a whole set of extremely sophisticated products we are building in accordance with an extensive product roadmap. Together with Acronis we are excited to provide our insurance customers with technology solutions that will allow insurers to cut the claims settlement period down to several minutes, or even seconds, in the not so distant future. The release of the first product is planned for Q3 2017, “said Dmitry Rudash, co-founder and CEO of Raxel Telematics.
