Opportunity for All in the Insurance Business

Etherisc co-founder Renat Khasanshyn was recently interviewed by Heather Geisler from Block.News about the nature of Etherisc and what we’re trying to accomplish. He was able to get across several important points in speaking with Heather for a just a few minutes.

Renat Khasanshyn interviewed by Heather Geisler from Block.News (Image credit)

Renat pointed that Etherisc is creating a decentralized insurance protocol “for collaborative development of new insurance products. We allow anyone to participate in the development and management of insurance products (along this protocol.)”

For example, a software developer in China can create a risk model, or a UI, and put a price of 3% of revenue on it. This developer will receive payments to their account from anyone in the US, for example, from someone who uses it.” — Renat Khasanshyn, Etherisc

How to create risk pools

Looking at another key aspect of what we’re doing, there can be outlined three types of risk and risk participants within the Etherisc ecosystem:

Our own, unleveraged risk pool, which contains only the funds that we put into it.

Traditional reinsurance, which is is available in the reinsurance market.

Individuals or companies in our network who create a tokenized risk pool with ERC20 or ERC721 tokens.

“Individual crypto investors or hedge funds can put (Ethereum) ether into an escrow contact and receive interest payments. They may buy, for example, some hurricane or earthquake risk, or crypto auto insurance, and get some passive income.” — Renat Khasanshyn, Etherisc

He also pointed out that risk participants can lose some of their stake in the event disasters occur.

Token generation and a fair market

Renat referred to the upcoming token generation event — organized by Etherisc — in which “we’re working with members of our community who want to own the token and use it to, say, provide a license, or participate in tokenized risk pools,” he said. “We’re doing our Know Your Customer due diligence, so we are now whitelisting them, so that people who work on the protocol will get enough allocation.”

A key part of our vision and mission at Etherisc is to usher in a new, fair, accessible, better aligned global insurance industry. We want to see actuaries, data scientists, and other key individuals who create insurance to receive their fair share of revenue for doing this, rather than seeing all profits go to a large corporation and its bloated bureaucracy.

We also wish to change a culture, in which there are incentives to slow down or refuse to pay claims. For instance, we apply a lot of effort in Puerto Rico at the moment to provide fair insurance policies that pay quickly and stem the exodus of people from the island as they continue to struggle with the aftermath of last year’s Hurricane Maria.

Opening smaller markets

Renat also noted how large insurance companies ignore smaller markets yet provide barriers to entry for entrepreneurs who wish to get into the insurance business. We can make smaller markets attractive to entrepreneurs by offering licensing services, our protocol, and a utility token that can be used to participate in the insurance business.

Renat closed the interview by letting viewers know that our goal this year is “to enable people to earn returns (in the insurance business) by diving the revenue of an insurance company to reward people in proportion to their skills.”

In other words, opportunity for everybody.

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