Delete search term


Quick navigation

Main navigation

Insurance Tokens

At a glance


In the public opinion blockchain technology is usually associated with financial speculation. However, the technology has many other application which allow to reduce costs, automate complex processes, and establish legal certainty for all kind of transactions. In this project we assess the potential of blockchain or distributed ledger technologies in the insurance sector. Specifically, we are looking at insurance captives and insurance fronting schemes. Blockchain technology allows to establish captives and insurance fronting business models with a much lower operating costs. This increases the availability of such insurance schemes and ultimately can improve the risk management of firms. Using a distributed ledger technology also allows a seamless transfer of financial flows and risks across different jurisdiction or borders while preserving full transparency and be compliant with local regulations. Thus, block chain technology can greatly facilitate the internationalization process of insurance companies. Last, but not least, blockchain networks can easily be linked to each other (network of networks). This can improve the access to reinsurance markets for insurance companies and captives schemes.