Riskblock Alliance, LIMRA roll out blockchain application for life insurance
The Institutes’ RiskBlock Alliance, a coalition of insurers working on distributed-ledger technology use cases, has partnered with LIMRA to introduce Mortality Monitor, the group’s first blockchain technology life insurance and annuity carriers.
More than 20 states require life insurers to cross-reference the Social Security Administration’s Death Master File with their in-force business to ensure that eligible beneficiaries receive life insurance benefits after loved ones die. Mortality Monitor will aid insurers’ regulatory mandate to compare policyholder’s data with the file. The program will reduce fraud by leveraging Social Security data, other third-party data sources and the policyholder records to submit real-time alerts to customers, says Christopher McDaniel, president of the RiskBlock Alliance.
“Using blockchain technology, we will enable companies to not only meet the state regulatory requirements but better serve their customers, identify and prevent fraud, and have proof that the appropriate proceeds have reached intended recipients," he adds.
RiskBlock’s life insurance members partnered with LIMRA on creating the new application, which will launch next year. Along with the launch of Mortality Monitor, members have identified four additional blockchain applications that will be beneficial in the new sector, including voice transactions and commission structure platforms, McDaniel adds.
In other news, Riskblock Alliance announced earlier this week that it will expand into Canada with the assistance of Deloitte.
“Deloitte has established itself as a leader in blockchain and distributed ledger technology and has strong global relationships with both blockchain and insurance organizations,” said McDaniel. “It’s for those reasons that Deloitte makes an ideal collaborator for us as we build blockchain applications for the insurance industry around the world. We are excited to see what we can accomplish together.”
Working with RiskBlock Alliance since the launch in 2017, Deloitte’s responsibilities include methodology, prioritization, and development.
“With the help of Deloitte, we’re building out a virtual blockchain application factory that members can use immediately for real business needs,” states McDaniel.