The London-based digital banking platform, Revolut, has just announced options to access international medical and dental insurance on a “pay per day” basis. This means you can pay for it when you need it. Partnering with British travel company, Thomas Cook, Revolut is offering a much more simple method to managing health insurance policies. At this moment, it does not appear that partnership will benefit travelers from a U.S. based departing city.
By using Blockchain technology, Revolut cuts out 3rd parties allowing complete control over managing your money. Originally recognized for buying, selling and trading of 25 fiat currencies along with cryptos via a standard MasterCard debit, this digital banking alternative continues to make a name for itself at a rapid pace. Starting at $1.38 a day, the company takes money from your Revolut balance to fund your designated health insurance provider.
Annual options are also available and Revolut tries to simplify the process by keeping the activity out of sight and out of mind. Its geolocation abilities will enable and disable coverage based on your region. This is one of many innovative features for the still developing startup such as mobile insurance and health insurance, accessing funds on your own International Banking Account (IBAN), and even applying for a line of credit. Company CEO and founder, Nikolay Storonsky, told the Mirror:
This is a global first…We wanted to create a type of insurance that uses technology to help our customers and only cover you on the days you actually needed to be covered – all for the best price.
The Japanese P2P network utilizing their own ethereum-backed crypto, the BitPark Token, sought to be the leading provider of insurtech; technology designed to make health insurance models more efficient and cost-effective. Ethereum is known for their “smart contracts” that essentially does most of the work through screening and billing in order to find insurance contracts that suit you best. Currently offering small payoff and short-term insurance for “casual use,” they plan to have 3rd party insurance providers come on board soon enough. BitPark also has insurance lending for trustworthy users who are rated high in the community.
Approved groups and individuals can receive discounts and even small loans for their medical insurance coverage. From the two initial coin offerings (ICO) the company ran thus far, Bitpark accumulated 100 million tokens in total. For 2018, they plan to optimize their business structure, update their services and get involved with new platform exchanges.
Although the insurance sector is not the leading pioneer in utilizing Blockchain, if this trend continues it presents major implications for the ways in which one manages their health insurance.
Blockchain Can Improve Health Insurance Functionality-It is expected that there will be over 20 billion devices connected to the internet by 2020 and centralized services such as the cloud may not be able to handle all of this data efficiently. Therefore, the Blockchain is a solid solution where policies can also be based on the user’s internet of things (IoT).
Insure Safer Medical Insurance IT-Because Blockchain is encrypted to prevent abuse, it is arguably much more secure than traditional models. If the health insurance sphere comes to agreement on this subject, many providers may adopt Blockchain as a way to decentralize their responsibilities.
Cross-border Insurance for International Transactions-If international trading of cryptos continue, health insurance providers may have to start accepting these currencies for their customers. Customers may want to be reimbursed in the same cryptocurrency that they initially or still have been paying with.
Revolut is creating a one of a kind geolocation Travel Insurance model that allows users to pay for their policies when needed rather than being limited to more long-term conventional options. Bitpark is one of the first to become recognized for blending the Blockchain with health coverage for its users. However, the medical field is one of the last industries starting to embrace insurtech and Blockchain technology. It may take awhile before it becomes a more standardized approach but Revolut continues to break barriers by showing the world what’s possible surrounding cryptocurrencies and Blockchain technology.
At the time of publishing, we haven’t heard back from the company regarding their plans to partner or not with a U.S. based travel health insurance provider company. We will update the story if new information is provided.
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