Major insurance broking and risk management firm Marsh has piloted a blockchain-based digital placement platform.
Leading insurance broking and risk management firm Marsh has piloted a blockchain-based digital placement platform.
Per a Sept. 24 press release, the Risk Exchange platform aims to ensure a more transparent and secure digital placement and enables users to receive real-time information and feedback on the placement and binding process.
Insurance placement is the purchase of an insurance product or the renewal of an existing product.
First participants in the pilot
As part of the pilot, commodity chemical company Dow Inc. and domestic appliance manufacturer SharkNinja will bind United States trade credit policies with finance and insurance corporation AIG and insurance company Euler Hermes. During the process, the parties will receive real-time status updates and notifications. Nick Robson, global credit specialties leader at Marsh JLT Specialty, commented:
“Digital platforms powered by blockchain are ideally suited for organizations that either generate or finance large amounts of account receivables. By digitizing the invoices, payments, and other trade and insurance documents of the parties involved, we can streamline the trade credit insurance placement process, drive efficiencies, and improve the overall buying experience.”
Marsh’s proof of insurance platform
In April, Marsh revealed its plans to roll out its proof of insurance (POI) blockchain platform based on Hyperledger Fabric technology to American commercial clients. The platform is designed to provide more certainty of insurance coverage as well as speed up business processes.
Following the proof-of-concept, Marsh expanded its partnership with IBM to provide blockchain POI to more clients through the Salesforce platform in September 2018.
