In deploying blockchain powered insurance products for travelers and vehicle owners, Indian insurer Bajaj Allianz General Insurance is hastening the claim settlement process from “days to minutes”.
Private insurance firm Bajaj Allianz is now deploying blockchain-based insurance products in the travel and motor sectors, according to the Hindu Business Line. This will result in a seamless process of an otherwise cumbersome procedure of an insurance claim for end users.
With ‘Travel Ezee’, Bajaj Allianz is using the innovative decentralized technology to proactively inform overseas travel policy holders of their payout eligibility in the event of flight delays. The traditional process of a claim typically sees the user register a claim before submitting a certificate of delay from the airline. With blockchain technology, customers will be able to instantly receive their claims without needing to file any flight delay forms.
Sourabh Chatterjee, head of IT at Bajaj Allianz told the publication:
This is helping us to bring down the current settlement turnaround time for some plans from days to minutes.
The insurer has integrated the product with multiple travel providers and is already providing the service to travelers flying abroad.
Further, the insurance firm has also implementing blockchain tech for motor claims from vehicle owners suffering damages. The new rollout will enable customers to file a claim instantly through Bajaj Allianz’s insurance wallet app, complete with pictures of the damaged vehicle. This ‘On The Spot’ feature, will fundamentally see customers file claims after a self-inspection of damages, without the need for a third-party check.
Chatterjee reveals that over 65% of motor claims are relatively minor, for amounts of less than ₹20,000 ($309).
“Typically, it takes five-seven days to settle motor accident claims, including those as small as ₹20,000,” he stated, adding that blockchain technology will cut that time-scale “down to a mere 20 minutes, ruling out any human intervention.”
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