Risk management firm Marsh is taking insurance to a different level. The insurance brokerage is expanding its collaboration with tech giant IBM to launch a commercial blockchain solution for proof of insurance to a wider customer base.
In April, Marsh introduced a commercial version of an insurance verification it developed with IBM. Now, Marsh is taking advantage of IBM’s connections with Saleforce, a customer relationship management company.
The partnership between Marsh and IBM will provide a platform that will speed up the process of clients seeking to hire contractors. Sandip Patel, insurance general manager of IBM, explained the impact of the distributed ledger technology on the insurance sphere, saying:
“Distributed ledger technologies are driving efficiency across many industries by enabling legacy manual processes to operate more efficiently and with greater transparency and trust. This innovation is an ideal example of how blockchain can be used to drive real business results and collaboration in the insurance industry.”
The blockchain-based proof-of-insurance solution developed by Marsh and IBM is powered on the IBM Blockchain. The project also includes ACORD, which is a global standards-setting body for insurance and financial services industries, and ISN, a supplier information management service, as partners.
Sastry Durvasula, chief digital, data and analytics officer at Marsh, explained, “By making proof of insurance accessible digitally and instantaneously for our clients through Salesforce, we are streamlining a key business requirement through easy and secure sharing of proof of insurance.”
Marsh isn’t the firm firs to look at blockchain to power an insurance solution. In September, People’s Insurance Company of China (PICC) announced that it will apply blockchain technology to its operations through a new partnership with blockchain platform VeChain. PICC also partnered with DNV GL, a global quality assurance and risk management company, to improve fraud prevention and ensure that business becomes more time and cost efficient. Equally in August, the American Association of Insurance Services (AAIS) introduced an open blockchain platform to ensure that the collection of statistical data by insurance carriers is secured.
New to blockchain? Check out CoinGeek’s Blockchain for Beginners section, the ultimate resource guide to learn more about blockchain technology.