• Arbol, a US-based startup, has unveiled a blockchain and AI-powered parametric insurance platform.
• The platform utilizes validated weather data from the decentralized climate data network dClimate and Chainlink’s decentralized oracle network.
• It automates “claim initiation, notifications, and loss calculations, resulting in rapid payouts, streamlined data flow, and heightened transparency.”
Startup Arbol Debuts AI and Blockchain-Driven Climate Insurance Platform
A US-based startup called Arbol has developed an innovative blockchain and artificial intelligence (AI)-infused parametric insurance platform. This partnership between Arbol and The Institutes RiskStream Collaborative marks the first on-chain data calculation tool for reinsurance transactions – a significant milestone for parametric re/insurance.
How Does It Work?
The platform is known as dRe Lifecycle Dashboard which is based on smart contracts that provide efficient and transparent parametric loss calculations for severe storm catastrophe transactions. Weather data from the decentralized climate data network dClimate combined with Chainlink’s decentralized oracle network act as triggers to activate this smart contract based on wind speed and location for specific hazardous events such as floods or storms. This system then automatically initiates claim notifications, calculates losses rapidly leading to expedited payouts while also ensuring increased transparency in terms of data flow management. Additionally, the Arbol risk framework’s pricing platform powered by AI algorithms helps facilitate efficient underwriting processes. Moreover, its flexible design allows for easy adaptability to different types of risks including heatwaves, rainfall or strong winds while also supporting non-parametric insurance event notifications.
Partnership Between Arbol & RiskStream
This blockchain-driven platform was developed by global climate risk coverage provider Arbol in collaboration with The Institutes RiskStream Collaborative – said to be the largest consortium within the insurance industry dedicated to exploring blockchain technology applications along with other emerging technologies. In addition to this joint effort between both entities, Kaleido’s technologies were also leveraged whereas RiskSteam’s Canopy serves as an end-to-end reusable blockchain framework.
Significance of This Milestone
Sid Jha Founder & CEO of Arbol believes that dRE will revolutionize how we manage severe storm catastrophe transactions due its auditable & reliable payout capabilities enabled through blockchain tech & smart contracts. He further noted that it’s not just a step forward but rather “a leap” since it offers enhanced levels of security & trustworthiness when compared against traditional systems offering similar services.
ArboI’s parametric insurance platform using advanced technologies like AI & blockchain could prove revolutionary in terms of facilitating rapid payouts via secure automated systems enabling efficient underwriting processes amidst improved transparency across all operations thereby disrupting the insurtech landscape significantly with its game changing capabilities!