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Achieving a High Level of Open Market-Information Symmetry with Decentralised Insurance Marketplaces on Blockchains

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Book cover Intelligent Computing (CompCom 2019)

Part of the book series: Advances in Intelligent Systems and Computing ((AISC,volume 997))

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Abstract

The legacy insurance industry is failing to cover risk with capital in a free-market way that is in the interest of the consumer. The status quo is highly discretionary with a small set of agents representing capital who decide about risk coverage in their own interest. Thus, customers and the insurance ecosystem face a wasteful context in the value chain of capital allocation. The advent of blockchain technology such as smart contracts, disruptively changes the status quo towards an improved disintermediated context with rapidly increased speed for bringing insurance products to market. Additionally, blockchain technology also allows for replacing a fraud riddled insurance ecosystem that suffers from qualitative highly bureaucratic decision making. Instead, blockchain technology eliminates inefficient layers of bureaucracy and establishes a novel quantitative organisational governance system based on transparent and traceable rules rooted in mathematics. Black Insurance fills this gap with a distributed blockchain-based insurance platform that overcomes currently existing information asymmetries to reinstate free-market forces for risk coverage with capital in the interest of customers.

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Notes

  1. 1.

    https://medium.com/BlackInsurance/costs-in-the-insurance-industry-today-b86e225eea0b.

  2. 2.

    https://www.ethereum.org

  3. 3.

    https://qtum.org/ens.

  4. 4.

    https://qtumeco.io/dapps.

  5. 5.

    https://www.bitrates.com/news/p/eos-mainnet-marred-by-mistakes-miscommunication-and-monopolies.

  6. 6.

    https://www.bitrates.com/news/p/eos-mainnet-marred-by-mistakes-miscommunication-and-monopolies.

  7. 7.

    https://iota.org/.

  8. 8.

    https://hashgraph.com/.

  9. 9.

    https://securify.ch/.

  10. 10.

    https://github.com/iurimatias/embark-framework.

  11. 11.

    http://populus.readthedocs.io/en/latest/.

  12. 12.

    https://www.cardano.org/en/home/.

  13. 13.

    https://aeternity.com/.

  14. 14.

    https://neo.org/.

  15. 15.

    https://ipfs.io/.

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Author information

Authors and Affiliations

  1. Department of Software Science, Tallinn University of Technology, Tallinn, Estonia

    Alex Norta

  2. Black Foundation OÜ, Tallinn, Estonia

    Risto Rossar, Mart Parve & Liina Laas-Billson

Authors
  1. Alex Norta
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  2. Risto Rossar
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  3. Mart Parve
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  4. Liina Laas-Billson
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Corresponding author

Correspondence to Alex Norta .

Editor information

Editors and Affiliations

  1. Faculty of Science and Engineering, Saga University, Saga, Japan

    Kohei Arai

  2. The Science and Information SAI Organization, Bradford, West Yorkshire, UK

    Rahul Bhatia

  3. The Science and Information SAI Organization, Bradford, West Yorkshire, UK

    Supriya Kapoor

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Norta, A., Rossar, R., Parve, M., Laas-Billson, L. (2019). Achieving a High Level of Open Market-Information Symmetry with Decentralised Insurance Marketplaces on Blockchains. In: Arai, K., Bhatia, R., Kapoor, S. (eds) Intelligent Computing. CompCom 2019. Advances in Intelligent Systems and Computing, vol 997. Springer, Cham. https://doi.org/10.1007/978-3-030-22871-2_22

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