Blockchain Boot Camp at SAP
Blockchain Boot Camp at SAP: Who Benefits From the New Technology?
Sharing ideas was a core focus at the SAP Next-Gen Blockchain Boot Camp in Zurich. Participants took part in workshops to design and discuss application scenarios for different industries. The bottom line? The new distributed ledger technology adds value to almost any industry.
The participants arrived at boot camp in Switzerland to thick snowfall, even at the end of April. For them, these snow was simply erratic weather conditions, but for farmers and wine and fruit growers, the arrival of such wintery conditions in spring can threaten their livelihood. Fortunately, many are insured against potential crop failure. And even more fortunate are those whose insurance runs on blockchain.
Thanks to blockchain technology, through which encrypted data can be securely exchanged, the insurer can automatically review a farmer’s claim using defined parameters — for instance, more days of frost in April — and release the payment accordingly.
Blockchain: Less Administration, Greater Customer Focus
Paul Meeusen, from global reinsurance company Swiss Re, explains: “As insurers, we need to remind ourselves what our core business is all about: providing people with assistance and protection. To achieve this, we have to rethink our often drawn-out processes.”
Blockchain can help customers redefine standards and processes, meaning that claims can be reviewed automatically and policyholders can receive their money quickly. This process has already been implemented in the agricultural sector as well as in the travel sector. If a flight is delayed by more than half an hour, the policyholder can claim compensation. This can be processed automatically, as the blockchain network has access to real-time flight information and releases the payment as soon as the contractual criteria have been fulfilled.
This is the reason Swiss Re is turning to blockchain and working with 15 industry leaders, including Munich Re and Allianz, to develop the standards as part of the B3i initiative. The vision is for B3i standards to be as important for insurance companies as SWIFT is to the banking sector. In June, the new generation of contracts, or smart contracts, will be tested using blockchain.
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