| | April 2018ENTERPRISE SECURITY8Blockchain to Turn Insurance into an Enjoyable Activity!By Safwan Zaheer, Head of FinTech and Director, Digital Financial Services, KPMG USlockchain promises to revolutionize the financial services industry just as the internet democratized information exchange and smartphones transformed communication. It is on the forefront of the rapidly developing "FinTech" revolution--the surge in innovative technologies and business models that are disrupting the design and delivery of financial services, including insurance services. But first, what is Blockchain?Blockchain provides a real-time public ledger of transactions and streamlines business processes by removing the role of intermediaries and automating manual processes. Backed by its distributed nature, Blockchain builds online collaboration and trust by allowing transactions to be secure, anonymous, peer-to-peer, and instantaneous. An important feature of Blockchain is its ability to execute `smart-contracts'. Smart contracts are automated, programmable instructions that contain self-executing protocols to perform certain task(s) or activities without the intervention of manual triggers. It is this capability of Blockchain, alone, that has potential to transform current insurance products and services to be much more engaging and enjoyable. Blockchain's transformative impact is not just limited to improvements in customer experience but it can also increase effectiveness in fraud detection and pricing, automate claims processing and management, speed-up distribution of payments, and reduce administrative costs.Using Blockchain technology insurers can enable many `new' experiences to engage customers, such as:- Automate and make claim payouts seamless: Imagine if the customer did not have to file a claim or go through the laborious and painful process of filing a claim with an insurer? Rather payments are automatically made to the customer whenever a claim event triggers, for e.g. delay or cancellation of a flight or BIN MY OPINION
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