Company AXA, the French insurance giant c capitalization of €61 billion, has launched a product for insurance of flight delays, using smart contracts, Ethereum, according to Тrustnodes.
A product called Fizzy assumes payment of insurance and automatic payments in case the flight is delayed for more than two hours. Work began on the project in 2015, and minimum viable product (MVP) was launched in September 2017.
The service is controlled by the smart contract with the rules of parametric insurance “if / then”, which involve not only compensation of damages and payment of the if will be executed a certain condition.
While clients using Fizzy will receive their payment in Fiat currency. AXA plans to add payments in bitcoin, but the company noted that “it is not the easiest feature to implement legal, regulatory and accounting reasons.”
“It’s a lot harder than expected! Data on air movement is not fully accessible and understandable. Our potential partners is difficult to understand the need for check flights. Traditional insurance we insure all flights, and the client must provide proof of delay”, — says a representative of AXA, Alexander Clement.
Here on the contrary, the company itself States that the schedule changed and there is a flight delay, which involves compensation. Now for a few simple insurance cases AXA no longer need to analyze the claim and it can save working time of employees. Customers are free from paper work, can also win time.
“In the future we are planning to go beyond flight. We believe that parametric insurance is a strong argument in favor of the use of the blockchain”, — said the representative of AXA.
As previously reported, the group “Renaissance insurance” in cooperation with the transport company “Business lines” have launched a joint blockchain-project cargo insurance.