The American Association of Insurance Services (AAIS) is using blockchain technology from IBM to help to automate regulatory reporting.
The not-for-profit AAIS consolidates and analyses data to create loss reports and rating information for insurance carriers, as well as state insurance regulators.
The organisation has rolled out a platform called openIDL (open Insurance Data Link) that aims to streamline regulatory and compliance requirements while improving efficiency and accuracy.
With openIDL, AAIS is updating an antiquated compliance process, enabling insurers to contribute data directly onto a secure blockchain platform to satisfy state regulatory requirements.
Data is stored on an immutable blockchain ledger where historical and current information is recorded. Regulators are provided permissioned access to view only the information they need. Participating carriers will also be able to see their own data profile to understand how they compare to the market.
Built on the IBM Blockchain Platform on the open source Hyperledger Fabric, openIDL is currently in pilot, with several major insurers in the process of being onboarded.
Sandip Patel, GM, IBM global insurance industry, says: "While the initial phase of the openIDL focuses on data sharing and regulatory reporting, the open platform provides a foundation for even broader innovation and new applications in the future, while providing full privacy and confidentiality protection among parties."