A mutual insurer from the Netherlands is examining the potential of blockchain technology to improve efficiency. Achmea, a member of the International Cooperative and Mutual Insurance Federation (ICMIF) has recently joined the Blockchain Insurance Industry Initiative B3i.
The project brings together 15 insurers in a collaborative effort to explore the potential of distributed ledger technologies to increase efficiencies in the exchange of data between reinsurance and insurance companies. As part of the initiative, the insurers involved will implement a pilot aimed at transacting reinsurance contracts amongst each other.
Achmea believes that blockchain technology can improve inter-group retrocession transactions by using a shared ledger.
Edwin Oversteeg, head of Operations, Finance and Risk at Achmea said: “From a business reinsurer’s point of view I believe the Blockchain technology definitely can and will change the current reinsurance market. Although we are still exploring, I believe it will totally set a new standard in respect of efficiency and having one single version of the truth for all its participants. Blockchain is not a hype, it is here to stay”.
Photo: Achmea premises in Leiden, the Netherlands