Okay, so when I first entered United States, I was surprised how everyone is forced(sort of) to pay for different insurances and cares because we don't have a similar structure in India. By an amazing talk by coinbase yesterday, how decentralization of insurance policies can this make this system better and transparent. It is gonna be a top insurance company because in this platform, we DO NOT have to trust anyone, not even this company. This fact can be proved mathematically by the principle of blockchain. I am no expert but I think this has the potential to change the insurance industry mainly because of decentralization.
What it does
We're a next-generation blockchain application for covering hidden costs of traditional insurance. As part of the UMC community, you are able to open policies and claims, as well as vote on claims by other members of our community. We're all here to help one another. How does it work ? Let's give currency ETH a different name called um Coin. Here it goes:
1.) You create an account and you create a wallet which is just a virtual address of your balance for um coins.
2.) Now, you buy some um coins or spend it, (you can go about trading of this coin to make money however you like).
3.) Once you have some um coins and you are interested in buying a policy, you add funds and buy a policy. No constraints over how you have to pay on a regular basis or anything like typical insurance industries. Pay whenever you like, whatever amount you'd like.
4.) Some unfortunate things happens (in terms of health, accident, industry, tragedy), you file a claim explaining yourself, amount that you demand, documentation for why you deserve to be helped and category and some proof (as much as possible).
5.) Other people on the platform view your claim and a random set of those people will be eligible to vote for your claim and they will be sent a notification, they will have options to vote yes/no/needs more information/fraudulent/inappropiate etc. These people will be told to verify your claim, look at your contribution to um platform and how is your current reputation, that is, for how many times, your vote was successful and you won those incentives.
6.) We will have incentives for people whose vote was the actual result, as in, if I voted yes, and his claim actually passed, then I'll get something, otherwise no.
7.) If majority of people upvote your claim and if platform has enough um coins to compensate for you, then your claim gets passed and you use um coins to trade for USD and help yourself. Otherwise, your claim fails.
Currently, I believe, if it could be implemented on a world level, it will be the best thing block chain would solve and it will save billions of poor people huge amount of money, that they have to pay to insurance industries on a regular basis in terms of their life, industry, property.
How I built it
Challenges I ran into
I did not know anybody and I could not find people who were interested enough in block chain. So, had to do it all by myself. There's a lot of work pending in terms of web3 though. I just need one more night. I still need to learn how to establish a coin on ETH network so, that I can use web3 to directly interact with it.
Accomplishments that I'm proud of
I learned react, meteor, blockchain. I think, this is the best code I have ever written. This is the first delpoyable thing that I have thought of. I hosted this on real website :P
What I learned
React, Meteor, Web3, Blockchain, ETH, insurance industry. I learned a lot about how block chain works and how is it better. Main learning point: What does decentralization actually means ? So, currently, whenever you deal with your transactions, there’s a central server at banks where your data is being stored. In insurance industries, these companies are central point, where are decisions are made, all money go to. Decentralization means, there is no central agency verifying these transactions. There’s an escrow account though( that will little more for this). But the point is, everyone knows and verifies the log of all the transactions that ever happens on the network.
It is peer-to-peer, to send/receive payments, you do not need a third person, you just need one’s public address to make the transaction.
What's next for a different coin
There's a ton of work left, I am gonna build it to the end and then, let's see what happens. Main task left is to establish this coin on real ETH network and I still need to learn how to do that.