Blockchain in Insurance Market - Introduction
- In the insurance market, new emerging technologies change the process of interacting with customers and sets new trends and ways to deliver products and services. Blockchain technology eliminates the need for intermediaries by using the distributed ledger principle for processing.
- Blockchain technology helps insurance companies by encrypting and verifying all the registered transactions in the business process and also maintains the records of all changes in original data.
- Blockchain technology is applicable in the insurance sector for encrypted medical records that are shared with insurers and hospitals, eliminates duplicate records, and manages claim denials, lengthy claim processing, and excessive checkups. Blockchain technology increases the efficiency and productivity of employees by providing access to real-time encrypted and secured databases.
- Insurance companies are adopting blockchain solutions to reduce the time for processing and overall transactional cost and to increase the market penetration with quality of services
- A survey titled Accenture Technology Vision 2019 revealed that blockchain technology is adopted by more than 80% of insurance companies or planning to adopt and invest in blockchain technology to increase the performance of the business operations.
Key Drivers of the Blockchain in Insurance Market
- Increasing demand for online secure platforms for real-time centralized database access is expected to drive the growth of the blockchain in insurance market. Increasing spending by insurance companies on advanced encryption technologies to secure commercial and customer data is expected to boost the growth of the blockchain in insurance market.
- Adoption of technologically advanced software platforms is expected to create better business opportunities for providers of blockchain solutions in the insurance sector.
High initial setup cost and lack of standardization expected to hinder the blockchain in insurance market
- Adoption of new blockchain technologies in insurance is expensive at the initial stage and blockchain technology is under development for its application in the insurance industry. This may restrain the growth of the blockchain in insurance market.
- Lack of standardization in blockchain technology due to the initial phase of technology development is also expected to hamper the growth of the blockchain in insurance market.
Impact of COVID-19 on the Global Blockchain in Insurance Market
- Solution providing companies are expanding their geographical presence and services to capture more market share in Asia Pacific due to the increasing impact of COVID-19 on business growth. Companies are adopting advanced real-time secured platforms to improve the insurance policy related process, which increases the demand for the solution during lockdown conditions.
- Companies are adopting advanced technology services for fraud detection and risk prevention for all insurance transactions. Increasing demand for digitalization in the insurance industry is also increasing investment by solution providers to offer advanced solutions to consumers during the COVID-19 period.
North America to Hold Major Share of the Global Blockchain in Insurance Market
- North America holds a prominent share of the blockchain in insurance market due to increasing spending of insurance companies to adopt advanced solution data encryption and security and owing to the presence of major solution providers in the region.
- The blockchain in insurance market in Asia Pacific is expected to expand the fastest during the forecast period due to increasing investment by major players to provide the services across the region and also due to the increasing demand for online insurance solutions in emerging economies in the Asia Pacific region.
Key Players Operating in the Global Blockchain in Insurance Market
- Oracle Corporation
Oracle Corporation is an information technology company, providing applications, platforms, and IT infrastructure products and services. The company operates through three business segments: Cloud and Licensing, Hardware, and Services. The company offers advanced insurance solutions with advanced technologies such as AI and blockchain.
- Microsoft Corporation
Microsoft Corporation engages in the development, manufacture, licensing, marketing, and sale of software, personal computers & services, and consumer electronics. Its products range from video games to mobile devices. The company operates globally and has offices in more than 190 countries.
Other key players operating in the global blockchain in insurance market include BitPay Inc., BlockCypher, Inc., BTL Group, Cambridge Blockchain, Inc., ChainThat Limited, and ConsenSys Software Inc.
Global Blockchain in Insurance Market: Research Scope
Global Blockchain in Insurance Market, by Applications
- Death and claims management
- GRC management
- Smart contracts
- Identity management and fraud detection
Global Blockchain in Insurance Market, by Enterprise Size
- Small & Medium Enterprises
- Large Enterprises
Global Blockchain in Insurance Market Segmentation, by Region
- North America
- Rest of Europe
- Asia Pacific
- South Korea
- Rest of Asia Pacific
- Middle East & Africa (MEA)
- Saudi Arabia
- South Africa
- Rest of Middle East & Africa
- South America
- Rest of South America
- Blockchain Applications Across Insurance
- Blockchain Accelerator for Insurance
This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.
Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:
- Customer Experience Maps
- Insights and Tools based on data-driven research
- Actionable Results to meet all the business priorities
- Strategic Frameworks to boost the growth journey
The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.
The following regional segments are covered comprehensively:
- North America
- Asia Pacific
- Latin America
- The Middle East and Africa
The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.
Below is a snapshot of these quadrants.
1. Customer Experience Map
The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.
2. Insights and Tools
The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.
3. Actionable Results
The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.
4. Strategic Frameworks
The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.
The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
8. How will the emerging political and economic scenario affect opportunities in key growth areas?
9. What are some of the value-grab opportunities in various segments?
10. What will be the barrier to entry for new players in the market?
Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.