The insurance consortium B3i Services AG, announced the launch of several important enhancements to its digital blockchain solution called „B3i Re“ (formerly known as Cat XoL), in order to meet the needs of its customers and improve management functionality. This was announced by the consortium in a press release issued on 15 September 2020.
B3i Re, builds on the success of B3i’s Cat XoL launched a year ago, for this new enhancement, adds the improved technical functionality and various features and functionality suggested by B3i customers.
>Strong>Other advances contained in this digital reinsurance blockchain solution, is that; through an API, B3i connects to placement platforms and administrative systems. Once connected, as detailed in the web portal, B3i’s distributed accounting technology allows the elimination of manual processing, data duplication and associated inconsistencies and reconciliations. As B3i CEO John Carolin comments:
„B3i started with reinsurance placement as the beginning of the contract life cycle, but the greatest power of distributed accounting technology comes from technical accounting and claims. A single version of the truth enabled by our solution can provide tangible benefits to all parties to a transaction, especially when our solution is connected to existing placement platforms and accounting systems via APIs. „
Insurers, brokers and reinsurers can use „B3i Re“ to create and manage digital contracts in distributed ledgers. All parties have a shared and unchanging vision of the contract and its management throughout the contract life cycle.>
The press release details that the release follows a year of contribution by dozens of insurers, Crypto Wealth Scam and underwriters and is a significant step forward in the end-to-end management of reinsurance contracts in DTL.
Improvements in service functionality
B3i strengthens the placement and electronic administration of Excess Property Loss (Cat XoL) treaties, including the structuring of filing, negotiation, endorsement and technical accounting.>
„Through continuous interactions with our customers, we constantly evolve our solutions to meet their precise needs. B3i Re offers enhanced features and functionality for the benefit of underwriters, brokers, accountants, auditors and all those who manage reinsurance contracts. Many aspects of reinsurance contract management are ready for the digital solutions provided by B3i. Added Antonio Di Marzo, Head of Products at B3i.
In this sense, within the new features and functionalities requested by the clients added in the current version of the platform, the following can be highlighted: the enablement of the integration with administration systems through direct integration or through ACORD messaging (in association with Ritablock), multiple currency capabilities, improvements in treaty tower parameters, e-mail notifications, broker cedent approval transactions, technical accounting, among others.
This last function – technical accounting – allows, among other things, the automatic calculation of premiums and commissions through intelligent contract logic, full support of premiums, commissions, claims and reserves, seamless integration with internal systems (FSRI, SICS NT, ACORD), reuse in lines and markets and multiple views of financial information (by treaty and by client).
The company, estimates to add the functionality of claims management for 2021, and expand its services to additional types and lines of reinsurers, as highlighted in the statement issued by the consortium.
B3i is expanding its reinsurance offerings and developing commercial insurance solutions. The insurance solutions will address both customer-specific requirements and market-level inefficiencies and will be introduced from next year.
B3i (Blockchain Insurance Industry Initiative), is a global initiative owned by 20 major insurance companies from five continents and a diverse community currently comprising over 40 companies.
Founded in October 2016 as an insurance industry consortium, then formed B3i Services AG as an independent company. The consortium is building a widely supported platform and protocol to address the critical needs of the insurance industry through the growth of its network and the development of partnerships with other business and industry led initiatives worldwide.
Blockchain technology in the Insurance Industry
The disruptive technology of the „Chain of Blocks“, as in other industries, has been revolutionizing the insurance world by providing transparency and precision, giving rise to unequivocal processes, while allowing the establishment of different products tailored to users, so that more and more insurance companies are betting on the use of this technology.
In this vein, it is estimated that this technology will move approximately USD 1.394 billion in the global insurance market in 2023, as highlighted in a report by Markets and Markets. The figure assumes an annual growth rate of 84.9% from 2018, when it reached USD 65 million. Increased fraud, the need for transparent and reliable systems, and cost reductions will drive growth in the global insurance industry, according to Markets and Markets.
In this context, Tokyo Marine, an industry leader in Japan, recently invested in B3i. In 2018, Tokyo had already conducted a trial run by NTT to execute blockchain-based marine insurance transactions. Earlier this year, it joined a commercial project in Singapore that includes the use of the blockchain.
On the other hand, in the same country, SOMPO Japan, announced that it is carrying out a test to automatically process mobility insurance claims through the blockchain. The trial, which is part of the company’s Mobility as a Service (MaaS), seeks to address differences in the processing of claims for train delays. Also, in April, a project sponsored by the Taiwanese Supervisory Commission was unveiled that uses the blockchain to allow people to update their policies more efficiently.