The Institutes RiskBlock Alliance, a not-for-profit enterprise-level blockchain consortium for the risk management and re/insurance industry, has announced that Ernst & Young (EY) will serve as a primary service provider for blockchain-specific cybersecurity and risk management guidance.
The services constitute part of the consortium’s efforts to implement and test multiple uses for blockchain-based tools and applications in the re/insurance industry by the end of 2018.
EY will collaborate with the RiskBlock Alliance to identify risks unique to its blockchain, identify leading practice controls, and provide blockchain-specific cybersecurity assessments and testing.
Created in 2017, the RiskBlock Alliance recently announced the addition of 12 new member companies, bringing the total number of participating insurers, reinsurers, and brokers to 30.
“We expect that the risk and controls guidance and cybersecurity testing services EY is developing will not just be critical to the success of the RiskBlock Alliance, but likely will help set the standard for industry-leading practices for blockchain enterprise,” said Christopher G. McDaniel, President of The Institutes RiskBlock Alliance.
David Hollander, EY Global Insurance leader, also commented: “The Institutes have been a long-term knowledge leader and non-profit partner to the insurance and risk management industry.
“It makes sense that they are leveraging that strength of reputation and stability to help steer the industry into a new, uncertain and yet exciting future as an industry. We’re proud to be pioneers together and teaming to address industry issues.”
RiskBlock says it seeks to better serve policyholders and reduce industry and consumer costs by streamlining payments, reducing fraud, and improving the accuracy of customer data.
It has already identified 40 potential use cases and is ready to implement and test an application that allows drivers and law enforcement to check insurance coverage in real time, as well as a first notices of loss data sharing process that will create a more streamlined experience for consumers and businesses.
Additionally, the consortium said it is developing a subrogation tool that reduces manual processes by using blockchain-enabled smart contracts to facilitate the netting of members’ payments, in addition to a parametric insurance application that utilises a weather oracle to automate the claims process.
