IBM and partners pilot blockchain-based insurance platform

The first blockchain and smart contract-based multinational insurance policy has been piloted by IBM, American International Group and Standard Chartered Bank, according to a press release.

"There is tremendous opportunity to apply advancements in blockchain technology to transform the insurance industry," Marie Wieck, IBM blockchain general manager, said in the release. "By creatively leveraging smart contracts to help address tough regulatory requirements across different markets, we are seeing the enormous impact blockchain can have to improve efficiency and open up new business models."

The pilot was built by IBM on its Hyperledger Fabric and tested in the U.K., the U.S., Kenya and Singapore.

"Our pilot proves blockchain has a powerful role to play in the future of insurance," Rob Schimek, CEO of Commercial at AIG, said in the release "Any technology, including blockchain, that can increase trust and transparency for an industry whose pillars are built on that should be fully explored. We're excited to be delivering innovation that matters to our clients — and co-developing key components of this new technology together."