The second, is that while insurance is generally understood as a proven form of protection, the fact that it is a terrible form of liquidity affects insurers and customers alike in some insidious ways. Herein, the fact that the typical insurance claims process labors under so much mistrust, red tape and the need for third-party verification, such as loss adjusters, multiple repair estimates, among others, reveals the human toll of the global insurance gap. The informational asymmetry in this protection greatly favors the insurance industry, while adding to the cost and complexity insurance labors under. Enter the world of blockchain and the insurance advancements from protection, to speed of response and liquidity, and a wholesale rethink of the insurance value chain is possible. Indeed, Etherisc, a blockchain-based insurance platform, is pioneering parametric micro-insurance in Puerto Rico to respond to wind-events, such as hurricanes and windstorms.

Source: Forbes April 30, 2018 00:22 UTC