Blueprint Update: Verso Is Focusing on Insurance – Over the past months we have inked many partnerships with fantastic insurance players both from the DeFi and TradFi spaces. We have also been talking to several potential investors and advisors and have gathered great feedback. One of the key takeaways of all these meetings is that we are in the right direction — the insurance/insurtech market is massive and there are tons of opportunities along its value-chain which are ripe for improvement. So much so, that we have already started working on ways to tackle some of these opportunities alongside our main distribution work.
What does this mean for Verso? We are reorganizing our strategy towards a full focus on the insurance industry. This means we will continue to work on the distribution of insurance products and will now be also horizontally expanding to other parts of the insurance value chain, such as underwriting and claim disbursements. This will allow us to add more value to insurance partners joining Verso, while also getting a stronger footprint in the insurance industry.
This shift was especially welcomed by new potential partners and investors coming from an insurance background: TradFi insurance companies look at Verso as a gateway to Crypto and the emerging Web3 economy, and we’ve already received demand for solutions for claim disbursements and the creation of public underwriting opportunities.
As always, we constantly look at developments in DeFi to come up with new opportunities for our project and to maximize the impact we can bring to VSO hodlers, the Avalanche ecosystem, and insurance providers.
What we changed from Blueprint V2:
- We added the claims, product innovation, and underwriting sections.
- We reorganized the sections according to the different components of the insurance value chain. (Distribution, claims, product innovation, underwriting)
Distribution (of Insurance Products)
The intent was to be financial product distributors and we had started with a focus on insurance products. Through talking to, and onboarding partners, we’ve discovered how big and underserved this market is, but also where blockchain provides tremendous opportunities for innovation. One of these areas is around parametric insurance where everything is fully automated, incl. claim assessment and disbursement. Imagine you purchased a flight delay protection and you missed your connection. Through oracles and smart contracts, you would find money in your wallet the moment your plane lands. No claim request, no forms, no waiting. This is how we envision smart insurance products to work. There is immense business potential there and this opens up very synergistic expansion avenues for Verso.
New Section: Claims Payouts
Claims payouts are a major aspect of the insurance value chain that is in desperate need of support. Claims departments work slowly and the process is manual. When it is time to submit a payout there are a thousand+ options of wallets and banks that the user could be requesting to receive his funds in. Decentralized networks solve this issue. For instance, claims payouts can be sent to any crypto wallet no matter where the user is located and this method enables the parametric function which can even eliminate the need for a claims department entirely. Payouts would be facilitated automatically and on-chain. With Verso, products can be scaled globally providing claims payouts for defi wallets which is much simpler than managing transfers to centralized wallets in over 100 countries. Over time, the goal is to make payments automated and seamless through the use of smart contracts.
New Section: Product Innovation
The team’s interest to delve into insurance product innovation has peaked. Proprietary products are an option although helping partners create and launch new products is likely how this will develop. We have many ideas and have already started the research and modeling required to assemble them. We have blue skied this item as our main interest still revolves around product distribution.
New Section: Underwriting
Underwriting is crucial for any insurance product and has been exclusively reserved for institutional investors / underwriters. Decentralized networks can enable retail investors to reap the benefits of this by enabling access to underwriting pools. For the average user that means you can provide capital for insurance products and earn a return. Verso Finance aims to leverage its industry connections and expertise to create underwriting pools for products on its marketplace, helping insurance companies with a quick go to market and ensuring retail investors earn a stable passive income. This use case is especially appealing for paratemetric on chain products such as flight or weather.
Verso Crypto Marketplace, Partner Distribution Channels, Partner Product Providers, Tokenomics
All of these sections are slightly rearranged but stay the same.
Blueprint Update: Verso Is Focusing on Insurance – Thank you for taking the time to get to know our project’s build plans & next steps! We appreciate all of the community support and we are excited to delve deeper into the insurance industry. Please join us for an AMA on this topic oon Monday, July 11th, at 12pm UTC on Twitter Spaces.
Drop your questions on our AMA form or in our main Telegram channel!