Leveraging IoT and Blockchain Technology
As this use case example shows , Ahoy could help foil many disastrous outcomes before they happen . For whatever eventualities do occur , smart contracts can update and process claims instantly , preventing such environmental hazards as those created by the cumbersome bureaucracy that led to the boat pile-ups in the wake of Hurricane Ian .
Today ’ s marina management systems are highly fragmented across disparate enterprise systems , resulting in siloed data and increased back-office costs for marinas . Currently , marina managers are using middleman software companies who seek to impose standards to extract monopoly rent . Ahoy would meet these variances in ways that lead to measurable benefits .
The usage of smart contracts would allow for the large-scale standardization of insurance protocols across the entire boating industry , allowing for greater safety and security . As more boats become fully insured and certified , compliance issues , duplicated work , and human error instances would diminish .
Insurance is all about collecting data and information , analyzing it , and then utilizing that information to make accurate decisions and payments . Clearly , an insurer might dramatically improve its results through the application of cutting-edge digital technology . The innovation of blockchain is a pivotal moment , as it provides the foundation to bring together advanced analytics , artificial intelligence , and automation software and hardware . Widespread deployment of blockchain and smart contract solutions across the insurance industry would not just improve the lives of those who make claims — but the profit margins of insurers too . 11 For this reason , this transformative shift feels inevitable .
That many insurers have not yet achieved this is a function of an opposing force : the zeal with which these companies guard their data . When an event requires an exchange of information , most insurers strive to share the least amount possible , in many cases using manual , paper-based processes . This is the insurer ’ s way of making sure that there are no sensitive leaks , and it reflects the fear that digital exchanges of data may not be secure . Blockchain changes all of this through its immutable and secure operating structure .
Further savings would occur through insurance premium decreases . With cash flow increases for marinas utilizing the automated processes of smart contracts coupled with decreases in overall damage claims due to the result of more effective relocation services , processing times for insurance claims will shrink — and so will premiums . Additionally , exaggerated claims , misclassification of damage causes , false inflation of repair costs , charity fraud scams , claims filed by unaffected individuals , and other fraudulent activities would be minimized through the more
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April 2023