AXA launches new Ethereum-based insurance policy

AXA, the French insurance giant, has launched a new policy to cover the delay of returns, which employs Ethereum’s blockchain. The package, called Fizzy, is coming as a tool that passengers can use to secure their travels if flights are delayed for two hours or more; the product makes a notable use of smart contracts.

According to AXA, Ethereum’s Blockchain plays two important roles in the project: it keeps an accessible record of terms within a smart contract, as well as functioning as a mechanism that triggers a payment to the customer once the two-hour limit has been reached overcome. Jean-Baptiste Mounier, a representative of AXA, explained to CoinDesk in an email:

“Intelligent contracts are the facet that decides whether or not to compensate the policyholder and activate a payment request in our system. The use of smart contracts will increase trust between the insurer and the customer. “

Thus, the company is positioning its new policy as a way to increase transparency in the insurance process. According to Mounier’s comment:

“Building offers aimed at meeting the needs of users is our goal here at AXA. By eliminating exclusions and using Ethereum’s smart contracts to trigger compensation, we increase the confidence level of our customers. “

As for the future, the company already thinks about other uses of the chain of blocks of Ethereum for the policy Fizzy. For now, the payments are being made in fiat money, although according to what explains the company, in the future they want that the compensations are taken to change in ETH. Mounier added:

“Later we want the payments to be made concrete in Ethereum, which will guarantee the confidence in the fact that, indeed, the indemnifications will take place and no one will be deceived”.