A Novel Multiparty Insurance on Blockchain

What?

NRI insurance is a novel concept to revolutionize the concept to purchase insurance and pay the premium at a discounted rate. We can see lots of pertnership happens in insurance space between a domestic incurance provider and international entity (eg. Bajaj and Allianz: Bajaj Allianz). Where revenue sharing takes place through internationl remittance, and in this process a lots of profit goes as tax, charges. NRI Insurance solves this by introducing collecting insurance premium from dual account holder citizens to the source country of both companies.

Why

According to intenationl remmitance stats, a total of 80 bn USD has been remitted to India in 2017-2018. A total transaction fees of 1.6 bn USD to 4 bn USD has been incurred in the remittance. NRI Insurance can reduce the transaction fee to maximize profit through reducing the remittance, as buyer can pay the a fix percent of premium to foreign country and another payment can be made in domestic. This will reduce the net remittance between partner insurance organization as well.

Our Solution

Insurance Companies can offer NRI Customers, with bank accounts in multiple countries (INR and EUR, USD, GBP etc.), a new multicurrency insurance product powered by Blockchain, that will allow companies to collect premium in multiple currencies.

Why Blockchain

As multiple accounts are involved any changes at any subsidiary will reflect in other near real time. Hence no subsidiary will be able to manipulate data to parent subsidiary. Smart contract would also perform functions like splitting the premium amount, fetching exchange rates, near real-time recording and updating payment details, etc.

Advantages

Involved subsidiary will have very minimal reconciliation and cash transfer as funds are getting transferred at local subsidiary level. For customers, inward remittance cost can be saved as they will be paying fund in foreign currency in different geography