Using blockchain technology, smart contract of the insurance agreement made between the insurer and the insured is created and is coded to get executed autonomously. This helps drastically reduce the operational cost involved in collecting and storing documents and processing claims, said Chihhin Kuo, industry analyst at Taipei-based, government-backed research institute MIC (Market Intelligence& Consulting Institute). “Currently, Taiwan has several insurance companies that have adopted blockchain technology to their travel inconvenience insurance packages and the technology has speeded up the process significantly.”
Table Travel Inconvenience Insurance Package of Eight Major Insurers in Taiwan
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Travel Inconvenience Insurance of Insurers for Delayed Flight (no delay proof needed)
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Insurance Company
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Delay Time
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Compensation Amount (NT$)
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Shinkong Insurance
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2, 4, 6 hours and above
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NT$1,600 /4,800/8,000
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MingTai Insurance
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3 hours and above
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NT$3000 (Fixed)/NT$6,000 (Maximum)
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Cathay Century Insurance
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4 hours and above
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NT$5,000 (Fixed)/NT$ 10,000
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Fubon Insurance
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4-5 hours and above
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NT$5,000 (Fixed)
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6 hours and above
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NT$5,000 (Fixed) NT$25,000 (Pay-as-you-go)
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Taiwan Fire & Marine Insurance Company
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4 hours and above
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NT$1,500 for every 4-hour delay
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NT$ 10,000-2,0000 (Maximum) or pay-as-you go
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Union Insurance Company
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4 hours and above
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NT$5,000 for every 4-hour delay and NT$10,000 (Maximum)
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|
Nan Shan General Insurance
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4 hours and above
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NT$5,000(Fixed); NT$10,000 (Maximum)
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Chung Kuo Insurance
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4 hours and above
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NT$5000/NT$8000 (Fixed); NT$10,000-16,000 (Maximum)
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| |
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Note: NT$1 = US$30.9
Source: Respective companies, compiled by MIC, May 2019
“The filing and settlement of a travel inconvenience insurance or travel medical insurance claim require external data from airlines or large hospitals. Therefore, reliable and trustworthy data from external organizations is insurance companies’ top concern when deploying blockchain and smart contract technology to automate the insurance claim settlement process.”
To see more about this report, please visit: Application of Blockchain in Travel Inconvenience Insurance Claim Settlements over Airline Strikes
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About MIC
Market Intelligence & Consulting Institute (MIC), based in Taipei, Taiwan, was founded in 1987. MIC is Taiwan's premier IT industry research and consulting firm providing intelligence, in-depth analysis, and strategic consulting services on global IT product and technology trends, focusing on markets and industries in Asia-Pacific. MIC is part of the Institute for Information Industry.