Insurance firms in China use blockchain to manage coronavirus-related claims amid the outbreak. Chinese online mutual aid platform Xiang Hu Bao added the coronavirus to the illnesses eligible for the maximum one-time payout of around $14,300 (100,000 yuan).
Xiang Hu Bao is a blockchain-based collective claim-sharing platform that counts 104 million users. The platform is owned by Chinese finance giant Ant Financial and uses its mobile payment processing service AliPay, which funds the payouts for coronavirus victims with its own capital.
“Xiang Hu Bao has been able to process claims and make payouts to participants quicker, due to the decentralised, 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.”
– Ant Financial spokesman.
Blue Cross (Asia-Pacific) Insurance, a unit of Bank of East Asia (BEA), said it was helping to ease pressure on health care services by shortening time spent on back-end data verification and other paperwork.
“Our blockchain-backed claims service has played a key role during the outbreak of the coronavirus by totally eliminating the paper process and the need for back-and-forth documents delivery to clinics. This really helps to mitigate the risk of infection from face-to-face contact,” said Patrick Wan, Blue Cross’s managing director.
The company said its blockchain-backed platform is capable of handling more than 1,000 concurrent transactions in a second without human involvement. Since the launch of its blockchain-backed medical claims app in April 2019, it has on average recorded double-digit monthly growth in the number of policyholders using it. With the app, patients can see the results of their claims within a day of their visit to a clinic or hospital.