Feel the insurance

Often the considerations of the future social effects of decentralized technology present a somewhat different picture of a higher order that may be radically different than it is today. Yet the potential for decentralized recording technology of centrally controlled activity and developmental commitment could be a marked deterioration. Without an equivalent previous structural change, the introduction of decentralized technology into established industries that seek to strengthen rather than improve service offers should be a major cause for concern for all of us.

A case of first life insurance claim is often repeated in a realistic, well-known business school episode. Shortly after such a policy became available, a life insurance policyholder actually died while its high-pay-out protection was applicable. When the deceased’s family tried to claim, the insurer wrote a new definition of how their company calculated ‘one year’ so that [successfully] Avoid settlement.

Calling it admirable industrial ingenuity or defenseless profiteering will probably depend on whether it is broadcast in a strategy or ethics discourse. However, with this story in mind, we now return to the introduction of blockchain technology in the insurance industry:

Orlando, Florida – The future of blockchain technology compensation transactions has the potential to improve industry-wide communication, a presenter at the annual issue symposium of the National Council for Compensation Insurance Inc. said. Provides insurers and stakeholders with a way to “generate, store, manage and share data as a secure record of transactions,” said Paul Musen, head of Distributed Laser Technology and director of Swiss Finance Reinsurance and CEO of B3i.

Blockchain consists of a distributed ledger, providing a “single version” of the consensus information, cryptography for secure and authentic transactions, and smart contracts, which are automatically enforced on predefined terms, Mr. Mussen said. In a traditional insurance system, there is an inefficient flow of information from the policyholder to the insurer to the reinsurer in the capital market, he said. Mr Musen explained how the technology works to build efficiency rather than collect and test data on individual systems.

“We’re working together, but we control our data,” he said.

To compensate employees, blockchain can give stakeholders the opportunity to share personal and medical information, providing a secure place to store and access data. The technology will allow for less coverage verification across blockchain platforms, he said. Blockchain allows real-time messaging and sharing of confidential information across the industry, he added. “There’s definitely a skill element here,” said Mr Musen 19 May 2018, Louis Esola Business Insurance

Blockchain can actually offer transparent, decentralized and unalterable recordings of digital data entries. There are also a number of possible extensions using ‘smart contract’ events that are automatically executable or complexly triggered. Without this question. Although the quality of the content is probably something that is often overlooked or simply overwhelmed by the excitement of technology.

Replicating existing methods in new ways may leave room for improvement. In other words, whether an insurance policy is centrally held by the issuing company or recorded through decentralized technology, it says nothing about its practical implementation. The same issuing company formulates and enforces the terms.

The warnings, clauses, errors and terms of many insurance policies that prohibit holder payouts are too much to list here in detail. Suffice it to say that for many they form a recognized part of the insurance process. Now with the complexity of digitizing the terms of the insurance company irrevocably which may not be fully understood by the individual holders of such policies only benefits the issuing company.

Instead of a personal exchange, clarification or justification for lack of comprehension, the holder’s digitally unchangeable and time-stamped agreement with such documents is permanently locked here. Although the transparency of the documents can be set by itself, the understanding and respect of the policy is largely one-sided. The use of unchanging records is only useful if you have sufficient knowledge of the meaning or effect of these records. Whether the blockchain is on or off, a complex and one-sided policy remains.

Highly profitable insurance indicates the presence of giants and surviving business structures. In the end, like a casino, company calculations and metrics are higher than our understanding of potential.

Like a round on a blackjack table, a player’s chances of gaining or enjoying their risk of participation are measured on an adequate time scale, essentially more than a guaranteed loss. The house always wins. This is why [well decorated and ornately furnished] In addition to the investment strategy of the house itself as well as multiple financial activities, its core insurance coverage exists because the house is betting that we, the policyholders, are wrong.

Paying more than you receive for any business is not sustainable. So the preferred range of insurance is available and continues because purchasing them, on a long enough time scale, earns more than it costs them to pay the paying company.

This is not to limit a host of potential benefits, protections and protections offered by the insurance offer. For example, in the case of automobile accidents, one’s respect for an experienced centralized behemoth for resolution in a cost advantage analysis may be worth considering only the prudent and especially the potential time requirements of the alternative. It can be said that across all insurance offers, home [an insurance company] Existing because it remains profitable.

When blockchain technologies are referred to as a panacea for development and the future of the industry, perhaps all of us should step back first and question whether we can truly understand the principles before we get too excited about their unchanging recordings.