Blockchain

Blockchain is a shared, immutable ledger that facilitates the process of recording transactions and tracking assets in a business network. This chapter explores the role of blockchain in the insurance industry, focusing on how the technology enhances data security, process automation, and operational efficiency. It examines the use of smart contracts for automated claims processing and parametric insurance, outlines blockchain’s benefits in compliance and fraud prevention, and highlights practical applications by insurers and insurtech firms. The chapter also addresses adoption challenges such as legacy systems and regulatory concerns. By analyzing real-world use cases and market trends, it provides a clear understanding of how blockchain reshapes insurance operations, supports innovation, and improves transparency across underwriting, policy management, and claims administration.