Why blockchain technology?

Blockchain-based systems could help radically improve the insurance industry. Insurance
claims processing and settlement, are areas where a customer buys a policy and the
policy sets out rules under which, the customer gets a coverage. The level of expertise
required for claim adjusters or the investigators, who investigate, negotiate and settle
claims, varies directly with the nature of loss, under the jurisdiction whose law applies to
the contract creation,interpretation and enforcement, one of principal consumer
protection issues within the insurance pricing, underwriting, and claim settlement
process, the rules, aka the rules-based claims processing or otherwise a voting based
claims processing, mostly followed by mutual insurers (peer-to-peer). In the claim
process, a person insured and other parties need to send several documents (data) some of
which might not be available in digital format.

Reliability:The decentralized nature of a blockchain network changes the databases of

the entire transaction records from closed and centralized ledgers maintained by only a
few accredited institutions to open distributed ledgers maintained by tens of thousands of
nodes. The failure of a single node does not affect the operation of the whole network.
This avoids the single point of failure and ensures the high reliability of the applications
which built on the blockchain technology.

Trust: Blockchain network makes the trust decentralized too. Unlike the centralized trust
we take for granted, such as central governments issuing currencies and commercial
banks, blockchain network acts as new trust bearers with decentralized ledgers. These
ledgers are shared among a network of tamper-proof nodes.

Security: Blockchain network uses the one-way hash function which is a mathematical
function that takes a variable-length input string and converts it into a fixed-length binary
sequence. The output bears no apparent relationship to the input. The process is hard to
reverse because, given just the output, the input is impossible to determine. Furthermore,
the newly generated block is strictly following the linear sequence of time and
cryptographic algorithm.

Efficiency: All data are automatically run through pre-set procedures. Therefore,
blockchain technology can not only significantly reduce the cost of labor but also
improve efficiency. For the digital currency of Blockchain ,the automation of distributed
ledger is mainly the automation of settlement. Blockchain technology could speed the
clearing and settlement of certain financial transactions by reducing the number of
intermediaries involved, and by making the reconciliation process faster and more
efficient.
Blockchain reduce fraud directly.
Blockchain may be useful in reducing fraud related to the integrity of a policy or claim or
vehicle (any asset). By maintaining the integrity of the asset through various owners,
blockchain technology can minimize counterfeiting, double booking, document
or contract alterations. It has the potential to be used for identity management, though this
concept has a number of issues that need to be worked out. However, use of the
blockchain does not mitigate the risk associated with the majority of first-party and third-
party frauds. Fraud detection and investigation systems will still be required.
This is true whether the blockchain is managed by an individual financial institution, a
group of financial institutions operating network or utility, a third-party processor

Benefits of Education Decentralized Application(DAPPS)

● High-level security assurance.

● Decentralized Distributed ledger.
● Blockchain distributed ledger is immutable and trustworthy.
● Enhanced verification process to reduce risks of fraud or theft.
● Simplification of multi-party purchasing and payment process.
● Decrease complex paper and legal agreements.
● Decrease overhead cost.
● Security, speed, and simplicity in transferring the assets.
● No manipulation.
● Secured blocks carry the right data of every client.
● Such profitable blocks are client controlled.
● Information hampering by any user is completely ruled out.
● The request transaction is broadcast to peer -peer(node).
● Low costs for executing transactions and a satisfying, easy user-experience.