Session 190 PD - Digital Transformation and Its Impact on Insurance Moderator: Albert Jeffrey Moore, ASA, MAAA Presenters: Srinivas Pulijala Paul Rivard Matt Stack SOA Antitrust Compliance Guidelines SOA Presentation Disclaimer
Session 190 PD - Digital Transformation and Its Impact on Insurance
Moderator:
Albert Jeffrey Moore, ASA, MAAA
Presenters: Srinivas Pulijala
Paul Rivard Matt Stack
SOA Antitrust Compliance Guidelines SOA Presentation Disclaimer
BlockchainSOA – Session - 190
Blockchain: Decoded 29/25/2017
BlockchainWord Associations
Bitcoin
Digital Currency
HyperledgerSecurity
Transformative
Technology
Ethereum
B3i
Paym
ents
Network
Anonymous
Cryptocurrency Transactions
Led
ger
Shared Database
Smart Contract
Internet Consensus
Distributed AppBlockchainExchange
Trade Nodes
Mar
ket
Immutable
Cryptography
Blockchain: Decoded 39/25/2017
Digital TransactionsTechnology we use today!
Blockchain: Decoded 49/25/2017
Digital TransactionsTechnology we use today!
We Trust our Merchants, Service providers / Financial institutions.
We know how they operate and approve of their terms & conditions (Rules).
We feel Secure using their websites (https://) and transacting business online.
We understand transaction/service fees that companies charge.
$
Bank
$
Another Bank
$
Clearing House
Merchant
Blockchain: Decoded 59/25/2017
Digital TransactionsChanging Business Models
Building Blocks for Blockchain
Technology
Need for TrustConsensus
Smart Contract
Social MediaPeer to Peer Networking
Technology Advancements
DatabasesSecure Communications
(Cryptography)Internet
Emerging Business ModelCurrent Business Model
Need for an Intermediary
(Trust)
Longer Processing Times
Double Entry Accounting
Reliability of Institutions
(Trust)
BlockchainEmerging Business Model
Blockchain: Decoded 69/25/2017
$
Bank
$
Another BankMerchant
Digital Wallets (Unique Identifier) Business Network
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BlockchainPrimer
Blockchain: Decoded 79/25/2017
Shared Database/ Network
Synchronized Transactions
Secure Smart Contract
Blockchain – Is a multi-tiered technology platform which provides a secure and reliable distributed ledger that can record and orchestrate series of transactions (Block) on a ledger (Chain).
BlockchainPrimer – When to use?
Blockchain: Decoded 89/25/2017
Digital Identity
Provide Transactions
Autonomous Execution
BlockchainHow does this work?
Blockchain: Decoded 99/25/2017
BlockchainHow does this work?
Blockchain: Decoded 109/25/2017
Miners
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Transacting on the network are called “Nodes”.
Identified by their Unique Public Key.
A private key is required to authorize the transaction.
Verify and process the transactions.
Compensated for their services.
Provides “Single” version of the Truth.
Transactions can never be deleted
Built in redundancy which ensures against breach or hacking.
Uses Consensus Mechanism to approve transactions which provides the “Trust”.
Parties Technology
BlockchainHow does this work?
Blockchain: Decoded 119/25/2017
1
21
2
Transactions
Transactions
Block
Trans xxxxxx1
Trans xxxxxx2
Trans xxxxxx3
Trans xxxxxx4
Trans xxxxxxX
Blockchain + Programming language = Smart
contracts
{
if HAS_EVENT_X_HAPPENED()
is true:
send(party_A, 1000);}
BlockchainSmart Contracts
9/25/2017 Blockchain: Decoded 12
BlockchainPotential Insurance Use Cases
Blockchain: Decoded 139/25/2017