InsurePal, a distributed social proof insurance platform, recently finished their crowdsale, reaching a hard-cap of $18 million in only 80 seconds. Their tokens are now listed on LiveCoin.net exchange, giving all the latecomers the opportunity to buy.
The funds collected in the crowdsale will primarily be devoted to the technological development of the platform, continuation of patenting process, the acquisition of regulatory permits, the team expansion and formation of strategic business partnerships.
Describe the company – the elevator pitch …
InsurePal is a next generation of peer-to-peer insurance based on social proof endorsements, fully harnessing the power of blockchain innovation. It will serve as a replacement for insurances as we know and offer a completely new type of coverage for areas of life and business that began to emerge with the evolution of blockchain and transactions being carried out on the distributed ledger.
How are you different? Why will you do well?
The thing that makes InsurePal fundamentally different is a complete switch in paradigm. Rather than accommodating irresponsible clients and having expensive administration, InsurePal is growing a community of diligent individuals who share a common value of reciprocity. In addition to innovations in the already known segments of insurance (motor, life & health, property), InsurePal also intervenes in the completely new area, namely, securing blockchain business transactions. By ensuring the financial compensation of an unrealized deal to the injured party they will establish the trust among all the stakeholders and greatly accelerate the quality and quantity of all future blockchain business transactions.
Insurance is a $7,3 trillion old-fashioned goliath that refuses the change. The key struggle for insurances today remains segmentation and the question on how to effectively distinguish clients to properly evaluate risk. The traditional methods they use are often expensive, invasive and the risk evaluation is poor. Moreover, in a fully digitalized era, insurances often stay reluctant to innovative technology and entering in niche segments as they are overly risky for their existing structure. Therefore, InsurePal biggest competitors come in the form of new entrants, introducing peer-to-peer business models and/or niche product based on technology. However, there is still a gap between their scaled execution preventing them to be adapted by a large majority. Even more, many of new insurtech companies do not own an insurance license and rather address other components of the value chain. A competitive analysis was done to compare InsurePal with Friendsurance, Lemonade and Metromile which share some similarities of our business model. Nevertheless, we are the only ones combining all: blockchain technology, peer-to-peer model and social proof methodology. The latter is an innovation in insurance for which we filed a patent protection in US and worldwide.
Where are you based?
Part of InsurePal’s team is located in London, UK, where we are launching the pilot project. The development and blockchain team is based in Ljubljana, Slovenia.
What have been your biggest wins to date?
One of the biggest wins is for sure collaboration with Mattereum. We´ve signed a letter of intent to collaborate in using blockchain to empower individual users of the technology, recognising that public and individual trust is central to the future of widespread acceptance of the blockchain, a digitized, decentralized, public ledger of transactions.
Their shared vision is of a future blockchain economy with three pillars: insurance, arbitration and identity. InsurePal will offer insurance of blockchain business transactions, whereas Mattereum will act as a decentralised court of arbitration for disputed smart contracts. The collaboration will bring together InsurePal’s social proof model of shared-risk insurance and Mattereum’s dispute resolution infrastructure, both underpinning and boosting the growth of the user-managed crypto-economy. Together, insurance and dispute resolution support claims about identity that can be relied upon because those claims can be insured and compensation in case of misidentification can be legally enforced.
Mattereum is building the first Internet of Agreements infrastructure project, bringing legally-enforceable smart contracts to the marketplace and enabling the control and transfer of rights in material and intellectual property as well as digital assets, enforced by an international commercial arbitration court.
Vinay Gupta, one of Mattereum’s founders and previously release coordinator for Ethereum, said: “To me, InsurePal looks like very good, clear thinking on how to model risk in insurance in new ways, and deploy new technology to implement those risk models. That’s how we make progress: new ideas that turn into new experiments. I’ve contributed a little to their models, and I’m looking forward to working with them on both modelling and implementation in 2018.”
Who are you trying to attract to your product?
In addition to innovations in the already known segments of insurance (motor, life & health, property), InsurePal also intervenes in the completely new area, firstly by securing blockchain business transactions and hereafter by offering different insurance product by quickly adapting to the needs of the crypto world. We therefore target both, the already established users of blockchain and those who have a bad feeling of overpaying for their insurance. The latter is especially true for the younger generation (e. g. Millennials) who lack enough historical data, meaning the insurances don` t have the means to segment them properly and tag them as risky instead. Both, crypto enthusiasts and millennials are prone to testing new products and have in a way learned about the advantages of the blockchain, therefore they represent our key target groups. Even more, as the platform promotes peer-to-peer engagement, it is believed the model will in the next phase be adapted by their friends, colleagues, and even relatives.
Key niche customers are good drivers/home owners who represent from 10% to 40 % of existing motor insurance industry. What is even more important is that our agile insurance platform will be able to enter a number of areas which large insurance companies don`t want to or even don`t know how to cover. This in fact means we`ll be the first serious player on the global market to offer solutions for business on the blockchain. And we know that the crypto economy is on the rise. By concluding strategic partnerships, we are actually setting the pillars of this alternative economy. This will accelerate the trading activities in this field and attract more and more individuals. So, our goal and also a challenge is to bridge the non-crypto with crypto world and make the latter a safer and friendlier place for the end-users.
What tips would you give to others looking to build their business?
In the mostly unregulated environment of ICO’s, self-regulation and high moral standards are very important. If you implement the highest business criteria already in your ICO, your business will surely follow and thrive in the coming years. Keeping a clear and honest communication with the community is of vital importance. We have dedicated ourselves to the goal to clearly and honestly present our mission, goals and future steps to the public. It is important to build a strong community as they become not only your investors but also the ambassadors of the company and the product.
Dear community, thank you so much! We couldn`t have done this without your support, so wherever you are today, take a moment and join us as we cheer to not only a great crowdsale, but to the future of InsurePal! pic.twitter.com/1SslIFSl78
— InsurePal (@InsurePal_io) January 16, 2018
Tell us about your team?
InsurePal’s team consists of experienced experts in the fields of insurance, private equity, IT and blockchain. InsurePal CEO Matt Peterman has a 20-year history in private equity fund management and has spent the last 5 years in insurance fraud detection. Co-Founder Tom Volk is also a founder of Adacta Group, one of the leading IT companies in Central and Eastern Europe with 27 years of experience in developing and implementing business IT solutions and employing 450 professionals.
InsurePal also has an impressive board of advisors with Bitcoin pioneer Charlie Shrem, Peter M. Moricz, who has over 20 years of comprehensive experience in derivative trading and investment strategies and Euan King, former CEO of 1insure, a $200M global provider of software-led solutions to insurers for policy management, claims management and analytics. You can learn more about the team here: https://insurepal.io/team .
What are your plans for the future?
InsurePal wants to make a fundamental switch in paradigm. Rather than accommodating irresponsible clients and having expensive administration, the platform will grow a community of diligent individuals who share a common value of reciprocity. Our key challenge remains to build an agile insurance platform on blockchain that will manage to acquire a sufficiently critical mass within a relatively short period of time. In addition to the pilot project in the UK, many resources and energy will be devoted to acquiring all licenses, and make business partnership that will allow the platform a global scalability. Also, we desire to communicate and attract both, the users who are already at home in the crypto and those who currently use the classical insurance but are ready to make a change. Especially with the latter, we will have to work on building awareness and educate them on the use of crypto currencies and pros of the insurance run on the blockchain.
Anything else you’d like to add/we should have asked?
For us, the science of social proofing is especially important. In partnership with Mattereum functioning as arbitration body and the company that will take care of the blockchain identity, social proof will give individuals the power to decide with whom and which companies they will be willing to share their data to. Such strategic partnerships in blockchain will enhance trust and provide the users with effective solutions that will speed up the growth of parallel economy world.
How do people get in touch with you?
You can join Insurepal’s chat room, Telegram: https://t.me/InsurePal ask a question on Bitcointalk: https://bitcointalk.org/index.php?topic=2495721.new#new, follow our lively community Facebook: https://www.facebook.com/InsurePal/ and Twitter: https://twitter.com/InsurePal_io and follow our news on InsurePal’s blog: https://medium.com/@InsurePal_io