B3i, the Blockchain Insurance Industry Initiative, has announced the establishment of B3i Services AG in Zurich, Switzerland. To date, B3i has been a collaborative initiative of 15 global insurers and reinsurers who joined forces in late 2016 to explore and test the potential of blockchain in the industry.
The aim of B3i Services AG is to provide insurance solutions on a blockchain platform that substantially improve efficiency along the value chain of the insurance and reinsurance industry – in some cases as much as 30%.
In mid-2017 B3i completed its first product, a prototype for the management of catastrophe reinsurance contracts in the Property branch.
The first operations on the platform are expected for the end of 2018, in parallel with the development of several other products.
“The establishment of B3i Services AG represents an important milestone for the members of B3i – explains in a note -. As an independent legal entity with its own capital and intellectual property, B3i Services AG is able to simplify and accelerate the development, testing and commercialization of insurance solutions implemented on blockchain technology. The establishment of B3i Services AG is the starting point for the next phase of the initiative. The firm will raise additional funds from a broad spectrum of insurance industry participants in the coming months. The ambition is to create an ecosystem of products and services developed “by the market, for the market”.”
Jaime Anchustegui, Generali Group Chief Operations & Insurance Officer, commented: “This is an important milestone in the roadmap of the B3i initiative which consolidates the excellent work done, thanks to the strong collaboration of the sector, during the first year of activity. This step lays the infrastructural, financial and operational foundations to accelerate the development of blockchain solutions for the insurance ecosystem. It represents confirmation that we, the incumbents, are seriously considering new technologies in order to enable structural change in our operating models. The establishment of B3i Services Ag allows a further strengthening of the initiative through the opening up to new shareholders and new funds”.
Paul Ribotta, Generali Global Corporate & Commercial CEO, added: “The first year of activity has shown that blockchain technology has a real potential for restructuring the sector and that this potential can only be exploited through a transversal and inclusive market initiative. The formation of B3i Services Ag creates a company with a start-up mentality but strongly supported by the incumbents of the sector, with the mission of establishing the IT ecosystem where insurance transactions can be carried out without friction, in a automatic and integrated. This is an important step for the initiative and, at the same time, a great leap forward for the industry, which will accelerate the development of solutions that increase our ability to provide meaningful services to customers, simplifying interactions and improving the transparency and quality of our
products".
Gerhard Lohmann, CFO of Reinsurance, Swiss Re, was named president of the company and commented: “B3i's transition from a consortium to an independent company is a concrete step towards realizing the enormous potential of blockchain technology for the insurance sector. Personally, I am very excited to lead this industry-transforming innovation and help make insurance more affordable, accessible and attractive to market segments that are currently underprivileged or underprivileged.”
