The Blockchain craze has finally reached the insurance sector. Consumers have loved the system of cryptocurrencies simply because cryptocurrencies and blockchain decentralized the asset holding system and removed the costs and terms imposed by the central parties. Similarly, it's now time to reinvent the insurance system with Rega. Rega aims to create a crowd based insurance platform wherein, instead of a number of individuals relying on a central insurance company to offer insurance, insurance will be based on the crowd, 'Crowdsurance'.
With Rega's crowdsurance platform a community of people can cover and manage a variety of risks without excessive and inefficient central parties. Rega platform will just take a flat fee for providing a technological solution to the market and all the risk premiums which earlier went to insurance companies will now go to the peers in the system. This system will thus make insurance cheaper and affordable.
Features of Rega's crowdsurance platform:
Rega's platform will be built on Ethereum blockchain, thus making the system decentralized and transparent.
Transparency and development of a peer to peer crowdsurance will further instill public trust in the insurance sector, which seems as the biggest problem in the sector today.
A decentralized system means that there are absolutely no brokers and agents or even a centralized insurance company for your risk management, just a peer to peer network. Thus saving a lot of costs over traditional insurance companies.
The system will provide for smart contracts and instant payments. All the rules and terms of the insurance will be mentioned in smart contracts to every platform user.
The payment requests will be processed by smart contracts or an expert voting instead of waiting for the insurance company to process the transaction.
In case of no processed payment request by the end of the covered period, the platform will payback 50% of the user investment.
Rega will be an international platform and will thus go beyond any geographical boundaries and other limitations that bind traditional insurance companies.
Crowdsurance Pools:
Rega pools consist of a cascading pool structure. There are three types of smart contracts, which include super pool, pool and sub-pool. When a new member joins Rega, the member has to invest in one of the smart contracts created by the pool of which 20% is taken as the platform fee and 80% is kept in the crowdsurance pool. Rega has a number of crowdsurance pools available including:
Lexi Club: Lexi club is the name given to pet insurance pools for pet owners to defend themselves from financial losses due to pet trauma or illness. Rega covers 80% of your vet bills.
Gadget Protection: Rega covers for gadget insurance in case of breakdown for a 2.5% of the gadget price investment. Mobile device insurance is estimated over 100s of millions of Dollars. Major insurance platforms today only cover insurance for latest devices and are therefore costly. Rega is developing a mobile application for iOS and Android users, which will cover devise used for less than three years.
Parametric: Rega's parametric insurance pool can be customised to virtually cover any event or a product.
Car: Car owners can invest in car insurance pools to cover car repair costs in case of an accident. Drone services can be used to provide evidence for an incident which will then be processed through smart contracts to refund the repair costs to car owners.
Health: Parametric data from fitness tracking equipment like smart watches and health applications will be fed to Rega's platform to adjust a scoring system for providing insurance. The platform may help disabled individuals for a better healthcare by bringing them financial aid as a donation from other people on the platform.
Rega's Risk Sharing Token (RST) and crowdsale:
The rega's crowdsale for Risk Sharing Tokens began on 15th
September 2017 and will continue till 15th November 2017.RST Tokens will not be a share in Rega but a utility token to avail Rega's services. There will be multiple stages to the crowdsale, including a pre-sale where tokens are priced at 0.05 ETH, and a crowdsale for anyone where the tokens are priced at 0.1 ETH.
There is no need to convert RST tokens to be sold for cryptocurrency. The RST smart contract SELL function will enable users to exchange tokens for cryptocurrency.
Conclusion
Rega is the world's first peer to peer insurance platform which is aimed at providing a cheaper and efficient insurance platform. The company smart contracts and provisions like a decentralized system of insurance will reinvent insurance system for the best.
