How Blockchain is Revolutionizing Insurance Claims During the Coronavirus Outbreak in China

The Rise of Blockchain in Insurance

In an era where technology seems to revolutionize every aspect of our lives, the insurance sector is jumping on the blockchain bandwagon. You might think of blockchain as the nerdy cousin of cryptocurrency, but it’s got a lot more to offer beyond just digital coins. With the COVID-19 pandemic rearing its ugly head, insurance firms in China have begun leveraging blockchain technology to streamline claims processing, proving, once again, that necessity is the mother of invention.

Xiang Hu Bao: A New Kind of Safety Net

Say hello to Xiang Hu Bao, a mutual aid platform owned by financial giant Ant Financial, which recently adapted to include coronavirus as a qualifying condition for claims. Imagine a digital safety net for 104 million users, where you can claim around $14,300, or 100,000 yuan, if coronavirus knocks on your door.

But don’t mistake Xiang Hu Bao for a traditional insurance policy. No, it’s more like a community potluck where everyone brings a dish, and if one goes hungry, everyone pitches in. Thanks to blockchain technology, Xiang Hu Bao helps eliminate the ‘guess who’s lying’ dilemma by allowing immediate access to claims and evidence on a decentralized platform. A since-quoted spokesperson laid it out perfectly: “It’s all about transparency, baby!”

Blue Cross: Reducing Paperwork, Not Quality

In another corner of China’s insurance sphere, Blue Cross Insurance, under the auspices of the Bank of East Asia, is tackling bureaucratic bloat head-on through a blockchain-backed medical claims app. Patrick Wan, the managing director, bragged that their app eliminates the notorious paper shuffling that traditionally plagues insurance—which might just save your sanity during these testing times.