French insurance giant AXA has launched a new flight delay insurance product that uses the public ethereum blockchain to store and process payouts. This is reported by the CoinDesk.
The solution is called Fizzy. It is a "smart insurance" product that can be used insure flight delay for more than two hours. Product is using the smart contracts.
Ethereum's blockchain plays two roles in this solution:
- maintains an accessible record of the insurance contract itself within a smart contract
- serves as a mechanism for triggering the payment to the client once the two-hour mark is passed
The smart contract is the party that decides whether or not we should indemnify the policy holder and triggers a payment request to our system. The use of a smart contract to trigger claims will add trust in the insurer / policy holder relationship. Building customer-oriented offers is our definite goal at AXA. By removing insurance exclusions and using an Ethereum smart contract to trigger indemnifications, we increase the level of trust our customers can have with AXA.
At the moments, payouts from Fizzy comes only in government-issued currencies. However, AXA team plans to add ETH payouts in future.