One of the most impactful stories of 2020 so far has been that of the coronavirus- a deadly epidemic that started in Wuhan and is currently spreading across the world- with China as its base and the country being particularly hit.
However, authorities have been fighting hard against the deadly pandemic and are employing blockchain technology to do so as well. Earlier this week, the South China Morning Post (SCMP) reported that Xiang Hu Bao, a blockchain-based insurance claim platform, has added claims for the coronavirus to the list of illnesses covered as a part of its payouts.
Insurance Payouts on a Blockchain Platform
As the SCMP noted, insurance companies from across China have been using Xiang Hu Bao to handle claims regarding the coronavirus. The platform is owned by Hangzhou-based financial services giant Ant Financial, and it already counts 104 million users. By adding the coronavirus claim to its platform, insurance companies that offer cover for this disease will now be able to use the platform to make faster and more effective claim handlings.
“Xiang Hu Bao has been able to process claims and make payouts to participants quicker, due to the decentralized, trust-free nature of blockchain technology. […] Claim applicants can submit their supporting documents as evidence, while investigation firms can get immediate access to them on the blockchain. All parties involved can see the entire process,” a spokesperson for the platform said to the SCMP.
People who register will be able to access a one-time payment of 100,000 Yuan (about $14,000) to take care of themselves as China continues to tackle what is becoming the most widespread global pandemic since the Ebola outbreak of 2014. The death toll for the disease has already toped 900 people in the country alone, and today was particularly deadly- over 97 deaths have been confirmed in the past 24 hours alone.
More Reason for Everyone to Embrace Blockchain
However, the fact that blockchain can be used to help make insurance claims even more effective will provide yet another use case for the country- additional encouragement in its mission to bolster just about every aspect of its economy with blockchain.
Over the past few months, several firms and government agencies have filed for blockchain-based patents in China, in compliance with a directive from President Xi Jinping to adopt the technology across their operations. As blockchain gets more use in the country, a lot of skeptics in the country could begin to even show support for the country in its bid to issue a digital asset and place its monetary economic growth in the hands of this new technology.