ANZ, IBM Collaborate with Suncorp to Develop a Blockchain Solution for the Insurance Industry in New Zealand
ANZ, New Zealand’s largest Banking Group, along with its tech partner IBM is developing a Blockchain solution in an attempt to make transactions and data transfer more efficient and transparent between the insurers and brokers of the industry.
Blockchain technology has begun to radically transform the banking and insurance industry, as users look forward to a more secure, decentralized way of making transactions.
Paul Goodwin, ANZ Executive said:
“Reconciling policy information and premium payments made by a broker to an insurer on behalf of customers is a slow and painful process.”
He added that the new Blockchain solution will be way more efficient and would bring greater transparency into the system while also removing the uncertainty associated with the industry and making the response times much faster.
ANZ has been a leader in the Blockchain technology in New Zealand. This solution as well would be the first of its kind in the Insurance Industry (NZ).
Mike Smith, IBM New Zealand Managing Director said that the distributed ledger technology will not just reduce policy costs and ameliorate customer service but would also build a foundation for other technologies to make way into the industry, such as AI (Artificial Intelligence).
The white paper released by ANZ demonstrated the use of this solution in three areas of focus:
- The first showed the seamless transfer of data throughout the process of policy issuance by removing unnecessary reconciliations and authorization at multiple stages.
- The second looked after the proper allocation of payments from brokers to insurers and also down to individual policies.
- And the third removed the tedious process of manual reporting and introduced a system of automated reporting for better insights.
Tim Buckett, the CFO at Suncorp New Zealand added that the proof-of-concept was an exciting way to check whether a tech solution could make the reconciliation process faster for insurance premium payments while also improving the customer experience for business partners and insurance policyholders.
The white paper released by ANZ and IBM is available here.