The Blockchain Insurance Summit was hosted by Red Chalk Group in the Fall of 2016. The unique event was dedicated to the $1+ trillion insurance marketplace and designed for executives to engage leading industry and Blockchain experts as they address top-of-mind issues. This presentation supported a panel discussion regarding use cases that was very well received by the attendees as it helped identify areas of Blockchain applications. Contributors for the content and the panel discussion were Michael Fitzgerald with Celent, Patrick Schmid with The Institutes, David Uhryniak with Red Chalk Group, and Raymond Zenkich with Red Chalk Group.

1. November 8, 2016 • Chicago, IL

2. © 2016 Red Chalk Group, All Rights Reserved
Reality Check – Successful Strategies for Making
Blockchain Use Cases a Reality
Michael Fitzgerald, Senior Analyst
Celent
Patrick Schmid, Assistant Vice President
Enterprise Research, The Institutes
David Uhryniak, Blockchain Practice Lead
Red Chalk Group
Raymond Zenkich, Managing Partner
Red Chalk Group

3. © 2016 Red Chalk Group, All Rights Reserved
Business context
CURRENT PAIN POINTS
Underlying threads
• Automation
• Third-party
integration
• Trust
• Market reach and
efficiency
• Poor customer experience
• High premiums
• Weak product innovation
• Slow entry into emerging
markets
Insuree
pain
Insurer
pain
• High administrative costs
• Costly intermediaries
• Fragmented data sources
• Manual processes
• Fraud prone
• Overly stringent regulation
Presented by Patrick Schmid, Assistant Vice President Enterprise Research, The Institutes

4. © 2016 Red Chalk Group, All Rights Reserved
Evaluation of use cases
4
Evaluation criteria
• Opportunity size
• Implementation complexity
• Design complexity
• Potential for incumbent disruption
• Level of industry cooperation
• Level of regulatory approval
Presented by Michael Fitzgerald, Senior Analyst, Celent

5. © 2016 Red Chalk Group, All Rights Reserved
Evaluation of use cases
5
Evaluation criteria
• Opportunity size
• Implementation complexity
• Design complexity
• Potential for incumbent disruption
• Level of industry cooperation
• Level of regulatory approval
• Smart contracts
• Immutability
• Consensus
• Private/Public
• Permissioning
• Oracles
Presented by Michael Fitzgerald, Senior Analyst, Celent

6. © 2016 Red Chalk Group, All Rights Reserved
Front office Middle office Back office
Example Blockchain use cases in insurance
6
Layered risk
participation
Validation of expertise/
provider management
Policyholder acquisition
Claims processing
Parametric claims
settlement (w/out FNOL)
Peer-to-Peer
Letter of authority
enforcement
Letter of credit
management
Subrogation
Alternative marketplace
Fraud register
Real-time regulatory
auditing
Claim settlement for reinsurance and
multi-layer participation
Alternative capital
raising (i.e., P2P crowd)
Embedding insurance in
a purchase transaction
Valuation of assets
Transparent validation of expertise
Provenance
Systemic
Presented by Patrick Schmid, Michael Fitzgerald, David Uhryniak (Red Chalk Group) and Raymond Zenkich (Red Chalk Group) with
primary source of use cases provided by Celent