Accenture and Generali Employee Benefits (GEB) have debuted a first-of-its-kind blockchain solution for employee benefits (EB) aimed at transforming the reinsurance process for captive insurance services.
The solution will allow participants in the reinsurance process for captive or pooling services to access the same data and reduces processing errors through smart contracts and automated reconciliation.
GEB expects the solution to streamline its EB operating model for captive services, which provides a comprehensive range of local admitted EB solutions to customers around the globe, including life, short and long-term disability, accident and healthcare insurance.
These local offerings are completed with reinsurance from Generali to captive or pooling services to best serve multinational corporations that require centrally managed insurance schemes and financials.
Blockchain is a distributed ledger technology that functions as a database system that maintains and records data in a way that allows multiple stakeholders to confidently and securely share access to the same data and information.
A blockchain-based risk and capital exchange is set to launch in Bermuda in July.
The solution has been launched on the back of successful demonstrations of a prototype last year.
The prototype included two global clients, one of which is leading agriculture company Syngenta, and local insurers in Spain, Switzerland, and Serbia.
The prototype, which was aimed at disrupting the market by integrating systems, data and processes to all stakeholders in the EB sector, demonstrated significant results by reducing costs, saving time, and improving data quality for all stakeholders.
Sergio Di Caro, GEB CEO said the prototype represents “a step forward” for both GEB and the insurance industry.
He explained: “The use of blockchain technology allows for a truly connected ecosystem and a seamless partnership between clients, advisers, local insurers and Generali.”
“Blockchain will change not only our network but the EB industry as we know it.”
Daniele Presutti, who leads Accenture’s insurance practice in Europe, commented: “Blockchain technology creates a more-connected ecosystem among stakeholders, allowing a reliable means of information exchange and streamlining previously complex, manual processes within insurance.”
“We are pleased to work with GEB to help revolutionise the EB process for its customers.”