Insurance trading group London Market Group launches blockchain research project

Rage Review : The London Market Group, an insurance and reinsurance trading organization in London, UK, announced the launch of a new blockchain research project to study the potential applications of smart contracts and blockchain in the wholesale insurance market. A few weeks ago, European insurance and reinsurance companies also announced that they would form a blockchain alliance to jointly develop applications. In general, the insurance industry has been looking for potential application cases to promote the development of activities in the startup field.

Translation: Nicole

The London Market Group, a UK-based trading body for the insurance and reinsurance industry, is launching a new blockchain research project.

The London Market Group has announced that it will study the potential applications of smart contracts and blockchain in the wholesale insurance market. The trade body’s members include representatives from major companies such as Allianz, AIG and Lloyd’s.

The organization is collaborating on the initiative with research institute Z/Yen, the statement said, with the aim of creating a common view of the potential benefits offered by smart contracts.

Justin Emrich

Justin Emrich, CIO of Atrium Underwriters, said in a statement:

“There has been a lot of hype around blockchain and smart contracts lately. It’s the ‘next big thing’ in the technology world, so we engaged Z/Yen to help us understand the potential applications of these technologies in collective insurance.”

The research project fits neatly into the London Market Group’s ongoing efforts to modernise the industry, which aims to publish a report compiling its findings sometime by the end of this year.

The London Markets Group added that it plans to develop a more focused report on the technology, including educational materials for institutional members.

The announcement comes weeks after a group of European insurers and reinsurers said they would form a blockchain consortium to work together to develop applications as the companies weigh whether the technologies will bring significant changes to the way they do business. The insurance industry in general has been looking to potential use cases, driving activity in the startup space.