State-owned People’s Insurance Company of China (PICC) recently announced that it is partnering with Norway-based quality assurance firm DNV GL and blockchain platform VeChain to revolutionize the insurance industry with blockchain technology, according to a press release dated September 1.
Bringing Robust Assured Solutions
PICC expressed interest in blockchain technology, especially its amazing properties which can reduce turnaround time, prevent fraud, and improve know-your-customer (KYC) compliance and claim experience. The realization of advanced internet-of-things (IoT) devices and smart contracts in the insurance industry could instantly bring compensation for the firms which will be producing a more profitable business model.
Currently, the industry still makes use of legacy claim management systems that produce overwhelming paper trails on poorly-validated data that constitute the current policy underwriting process. These inefficiencies in data collection, as well as in auditing and verification, result to policies being placed on bad actors leading to price increases on behalf of all policy owners.
The collaboration among the three firms will help PICC bring “robust assured solutions” which will protect user data, appropriately distribute ownership, among other benefits made possible through other use cases.
According to the press release, PICC specifically chose VeChain because of their existing solutions with DNV GL. VeChainThor, Vechain’s public blockchain, offers businesses with the tools to control their assets while collaborating across multiple organizations.
Deriving Competitive Advantages
“PICC believes they will derive new competitive advantages for their offerings now assured by DNV GL,” the press release read. “The combined collaborative efforts of this partnership will create new value propositions and onboard existing PICC clients and competitors to a broader collaborative ecosystem that benefits everyone.”
George Kang, DNV GL’s CEO for its Business Assurance in Greater China, said that the role that their firm will be playing is to ensure data integrity on the business operation perspective.
“In conjunction with VeChainThor Platform, we will provide a robust digital trust platform to assist PICC with enhanced data management and efficient data processing.”
VeChain Co-Founder Sunny Lu also expressed confidence in the capabilities of all the parties present in the collaboration, saying that on their end, they will “provide great service and products to PICC, together with DNV GL.”
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