First Insurance based on Blockchain (Part 04)

Today I will give an example in the continuation of the discussion and from that example you will understand why this decentralized insurance system is a very smart, modern, fast and innovative idea.

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Flight delays are often a normal occurrence for some airlines. In this case, it is very difficult for many passengers to make a claim under the insurance policy because it involves going to many people and wasting time. So passengers generally want to avoid such claims. So how to directly and automatically make insurance claims for flight deals started this Decentralized blockchain-based insurance system. I am discussing this matter in detail today. Etherisc’s first real-world application was flight delay insurance. It is a simple yet effective proof of concept for blockchain-based insurance.

The platform offered travelers automatic payouts if their flight was delayed or canceled. The entire process was automated using a smart contract, which checked flight data from reliable sources. If the conditions of the insurance policy were met for example, the flight was delayed by more than a certain number of hours the smart contract would trigger an automatic payout to the policyholder. This use case was highly effective in demonstrating the potential of blockchain technology in insurance. It showed how Etherisc could remove the friction of filing claims, waiting for approval, and receiving compensation.

Customers didn’t need to submit paperwork or deal with an insurance agent; everything was handled by the smart contract. This is a great system because there is no paperwork needed, no need to go to anyone and no need to provide any proof of one's current status. By automatically collecting the data from the flight server, the insurance claim amount will automatically be credited to the policyholder's account. You can understand how great this system is.

~ Regards,

VEIGO (Community Mod)