Global Blockchain in Insurance market is expected to reach $1398 million by 2023, growing at a CAGR of 84.9% during the forecast period (2018-2023), according to a research by MarketsAndMarkets.
In 2017, the value of blockchain in insurance market was only 43 million. Major drivers of the growth of market are the emerging need to have transparent and trustworthy systems, trends in insurance sector like growing number of fraudulent insurance claims, and need to reduce total cost of ownership.
The report mentioned that growth of blockchain-as-a-service (BaaS) and rise in internet of things (IoT) penetration will create lucrative market opportunities.
- By Provider:
Among the providers, the infrastructure and protocols providers will dominate the blockchain in insurance market during the forecast period. This is because of the reason that infrastructure and platforms are leveraged by application and solution providers for development of applications.
- By Application:
The smart contracts applications will dominate the blockchain in insurance market in 2018. These applications will decrease the costs of verification, execution, arbitration, and fraud prevention.
The blockchain technologies offered by application and solution providers will help businesses reduce the duplication of transactional data. It will also provide periodic reconciliation and authentication for commercial and regulatory reasons.
- By Region:
According MarketAndMarkets report, North America will lead the blockchain in insurance market in terms of technology adoption.
The financial sector which includes banking, financial services, and insurance companies, will increasingly use blockchain technology for several advantages.
The top vendors in blockchain in insurance market are Amazon Web Services (AWS), Cambridge Blockchain, ConsenSys, IBM, iXLedger, Microsoft, Oracle, SAP, etc.