Global insurance company, Marsh, announced on Monday it has formed a partnership with IBM (NYSE: IBM), ACORD, and ISN launch a commercial blockchain solution for proof of insurance. The company reported that by using blockchain technology, it is looking to fundamentally transform the certificate of insurance process to be more transparent. The process will allow clients to speed up necessary business functions such as hiring contractors and transferring risk while increasing coverage certainty. Sastry Durvasula, Chief Digital Officer and Chief Data and Analytics Officer at Marsh, stated:
“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. We believe strategic engagements such as this one with IBM, ACORD, and ISN will help accelerate the adoption of further blockchain applications benefiting our clients across industries.”
Sandip Patel, General Manager of Insurance Industry at IBM, also commented:
“Vastly simplifying the process for providing proof of insurance is a key enabler of business. 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.”
The new blockchain network, which is currently in pilot, is expected to go into production later this year. ISN, is the first Marsh client to pilot the solution. Brett Parker, technical insurance lead of ISN, then noted:
“The insurance industry has been dependent on paper certificates of insurance, manually populated by an insurance agent. By digitizing the policy information, we can streamline the process saving our customers time to focus on their core competencies.”
Bill Pieroni, President and CEO of ACORD, added:
“This blockchain solution is key to evolving standards, enhancing data leverage, and enabling state-of-the-market technology to better integrate ACORD members and foster innovation.”