PriyaPatel
TLDR:
- Aon conducted a successful pilot for placing insurance using blockchain and smart contract technology
- Benefits of blockchain and smart contract technology for insurance stakeholders include access to new sources of capital, enhanced transparency, and reduced administrative costs and processes.
Aon plc, a global professional services firm, recently completed an innovative pilot for placing insurance using blockchain and smart contract technology. The pilot was conducted with Nayms SAC Ltd., a crypto-compatible insurance marketplace, and Copper.co, a digital assets custodian. This pilot demonstrated the efficiency gains that institutions can expect from the Nayms platform, which leverages blockchain technology to conduct insurance in a highly innovative yet secure and compliant manner. Aon leveraged a Copper Web3 custodial wallet to sign transactions and transfer funds on Nayms’ platform, earning crypto-native commissions on its brokerage. Premiums were paid in stablecoins and commissions due to Aon were automatically allocated through smart contract logic.
Jillian Slyfield, chief innovation officer at Aon, highlighted the potential benefits of blockchain technology for the insurance industry, including lower transaction costs and greater access to financial services. This pilot is seen as a significant step towards revolutionizing the insurance industry by embracing the power of blockchain and digital currencies. Aon has been developing innovative solutions and products with the goal of promoting safety and trust to foster institutional adoption of Web3.
The successful completion of this pilot marks a milestone in the integration of blockchain and smart contract technology within the insurance sector, providing stakeholders with new opportunities for capital access and enhanced transparency in processes.
