According to a study be Deloitte, which of the following are benefits of blockchain for the insurance industry (pick two)?

According to a study be Deloitte, which of the following are benefits of blockchain for the insurance industry (pick two)?

A. More efficient claims processing

B. Supporting strategic initiatives

C. Comprehensive interoperable health records

D. Lower costs

View Answer

Answer: A, D

Explanation:

According to studies conducted by Deloitte and other industry research, blockchain offers several benefits for the insurance industry, particularly in more efficient claims processing and lower costs. Blockchain’s capabilities in data immutability, transparency, and automation play key roles in streamlining insurance processes and reducing operational expenses .

Key Details:

Efficient Claims Processing: Blockchain enables quicker verification and processing of claims by automating workflows through smart contracts. This reduces paperwork, minimizes errors, and speeds up the claims process, improving customer satisfaction.

Lower Costs: By reducing intermediaries and leveraging automation, blockchain lowers administrative costs. It minimizes the need for manual verification and fraud detection, which traditionally consume significant resources in the insurance industry.

Transparency and Fraud Reduction: Blockchain provides an immutable and transparent record of all transactions. This helps prevent fraud, as all stakeholders have access to the same data, reducing discrepancies and the need for extensive audits.

In conclusion,

A. More efficient claims processing and D. Lower costs are the correct answers, as these are key benefits of blockchain for the insurance industry identified in Deloitte’s research.