Vermont State Government Launching Blockchain Insurance Pilot

January 14, 2019
48 Views

The U.S. state of Vermont is launching a blockchain pilot project for the captive insurance industry.

The state government announced Friday that the Office of the Vermont Secretary of State and the Vermont Department of Financial Regulation have signed a memorandum of understanding to conduct the pilot that will examine the tech’s potential in digital recordkeeping and registration and regulatory processes.

The trial program will give captive insurers – licensed insurance companies formed by one or more parent entities to provide self coverage – in the state an option to file registration and reporting documents using private blockchain technology. The state government currently maintains paper and digital copies of filed documents.

Vermont aims to create a “transparent and validated” record of transactions through blockchain, as well as reduce costs compared to traditional record-keeping methods.

Jim Condos, Vermont Secretary of State, said in a statement:

“This pilot will allow us to examine whether or not the application of blockchain technology for digital recordkeeping can improve aspects of the state regulatory process.”

The government has already started the process of identifying vendors with technical and consulting expertise for the pilot program, through a Request for Information (RFI) process.

Vermont is one of the leading markets for captive insurance in the U.S., with the state government registering 20-40 new companies in the sector per year, according to the RFI.

The state has launched several blockchain initiatives in the past, including the signing of a bill last May that opened the door for the creation of blockchain-based limited liability companies. And, in January 2018, the city government of South Burlington partnered with blockchain startup Propy to trial a land registration system using the technology.

Vermont State Capitol image via Shutterstock 

https://www.coindesk.com/vermont-state-government-launching-blockchain-insurance-pilot

You may be interested

Market Rebound Boosts Adoption of Cryptocurrencies for Payments
Crypto News
19 views
Crypto News
19 views

Market Rebound Boosts Adoption of Cryptocurrencies for Payments

btcethereumadmin - June 27, 2019

The use of digital assets to make payments is growing, according to a recently published study. It reveals that cryptocurrency’s…

Node40 Executive Explains What to Expect When the IRS Issues Its New Crypto Policy
Crypto News
35 views
Crypto News
35 views

Node40 Executive Explains What to Expect When the IRS Issues Its New Crypto Policy

btcethereumadmin - June 27, 2019

Last May, the U.S. Internal Revenue Service (IRS) revealed it would be issuing new tax guidance and rules about the…

Coinbase Hit With Outage As Bitcoin Price Drops $1.8K in 15 Minutes
Bitcoin
35 views
Bitcoin
35 views

Coinbase Hit With Outage As Bitcoin Price Drops $1.8K in 15 Minutes

btcethereumadmin - June 27, 2019

Crypto exchange Coinbase experienced a brief outage Wednesday afternoon, with both its website and API rendered temporarily inaccessible, as the…

Leave a Comment

Your email address will not be published.