Are you also tired of getting risk insurance traditionally?
Do you also want to get relief from paperwork and hiring an insurance agent?
Don’t worry, today we will be learning about an automated blockchain-based platform that relieves the tension of its clients.
By upgrading the insurance mechanism to an automated mode, which is cost-efficient and completely user-defined.
To prevent natural crises and parametric risk conditions, a software platform named Arbol has adopted a very innovative approach with Blockchain-based technology, which will be discussed in our today’s blog.
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What Is an Arbol Market?
Arbol is a blockchain-based software platform that sells agriculturally-based smart contracts in the market, made from the combination of parametric weather protection (The protection against weather pre-fixed on certain parameters) and blockchain technology.
Arbol users are automatically paid the particular insurance money, according to the terms and conditions defined in the Arbol smart contracts and after Arbol’s database tracks the observational data measured by the meteorological departments.
Arbol also ensures the tamper-proof data that cannot be manipulated or changed, encoded inside the smart contract that provides parametric solutions, in the form of innovative reinsurance policies to their clients.
These reinsurances are in actuality, the protection-based agreements for the parametric protection products.
Now, what are Parametric solutions?
These are the type of index-based insurance that provides coverage for the potential risks or future mishaps that are probable to occur in the market in future, for example, weather risks, natural disasters, etc.
One thing must be noted down, i.e., Parametric risk solutions will not compensate for your losses but will offer you predefined protection under pre-defined protocols.
Who Created the Arbol Market?
Arbol market was created by Mr. Siddharth Jha, who is CEO and founder of Arbol, who used the machine learning approach for creating automated insurance for commodities.
Arbol integrates the four elements to create a smart contract, which are
- Blockchain technology,
- AI learning,
- Decentralized Climate Data
- Big data power
The above elements are combined to create an insurance solution for its users and to hedge the weather risks and adverse natural conditions.
How Does the Arbol Market Work?
It is a market risk place where several agricultural elements like Farmers, crops are directly linked with the investors and capital providers to get insurance and real-time protections from the potential risk factors.
It harbours a kind of risk management that has been channelized by several data files containing the compressed form of years old weather information collected from various verified sources.
What Are the Features of the Arbol Market?
According to Arbol, it promises to deliver the perfect parametric solution to its users with a pre-designed weather protection agreement under competitive pricing:
- No paperwork: These are completely paperless, which means you don’t have to own a document to get your insurance, instead your information is stored in the form of a digital document called smart contracts.
- Automatic Pay-outs: Users are automatically paid the concerned amount of insurance within two weeks, directly based on the calculated weather metrics and observations made by the meteorological department.
- Low-cost premium offers: The Arbol market offers low-cost premium services to its users which is powered by the AL underwriter at competitively low pricing for different types of weather risks.
- More than 25 services: More than 25 services are provided by the Arbol crypto market to its users and help them to reduce the risk through its automated payout process.
Arbol is an innovative approach in the form of parametric solutions based on Blockchain technology to facilitate the coverage cost for any type of weather risk, it also provides live proprietary pricing that is made available to its users through the Arbol app.