IBM Working with Insurance Broker Marsh on Blockchain Verification Platform

The potential of blockchain technology in the insurance industry has been demonstrated numerous times so far, especially with the appearance of multiple insurance-related ICOs. Now, reports indicate that IBM and the international insurance broker Marsh are working together on an insurance verification platform that would be based on blockchain technology.

To kick things off, there are a few more companies involved in the project, such as the non-profit ACORD Corporation, or ISN Software. As part of their partnership, the companies will develop a platform that insurance companies can use in order to quickly verify whether contractors have the insurance they claim to possess. The system will be based on the Hyperledger Fabric Code, but also IBM’s blockchain platform.

The announcement release stated that the blockchain would be permissioned, which means that only vetoed parties will be able to gain access to the data. So far, insurance verifications would require companies to use a paper-based system, which was both slow, but also expensive. On the other hand, the blockchain platform will allow real-time access to data, and insurance verification.

In a recent press statement, Sastry Durvasula mentioned that: "Marsh sees great opportunity in leveraging blockchain technology to better serve our clients by maximizing efficiency and creating new opportunities in the insurance value chain."

Additionally, IBM’s manager of the insurance division stated that: "IBM is committed to connecting emerging blockchain networks to facilitate the next generation economy. This is an ideal example of how blockchain can be used on a much broader scale to drive real business results."

It is important to point out the fact at this time, the platform is in its pilot stage. A production version should be released in late-2018, although this depends on the input and feedback given by the other companies involved in the project.

Based on everything that has been outlined so far, the blockchain-based insurance platform may have a powerful impact on the industry, and disrupt general practices.