The Ministry of Science and ICT and the National Information Society Agency announced that they have established a blockchain-based 'automatic claim service for indemnity medical insurance' together with Kyobo Life Insurance.

Currently, under indemnity medical insurance, policyholders must claim benefits by submitting copies of medical records, such as receipts, and a claim form to the insurance company via fax, mail, the internet, or in person after paying medical expenses at a medical institution.

As the insurance claim process is cumbersome, there are many cases where people give up on filing claims for small amounts due to the burden of preparing documents.

The newly established 'Blockchain-based Automated Indemnity Medical Insurance Claim Service' enables subscribers to easily claim insurance benefits by automatically processing the creation of claim forms and the transmission of medical record copies through blockchain-based authentication.

The insurance claim submission is completed when the subscriber indicates their intention for automatic billing when paying medical expenses at the hospital and selects the medical records to be sent to the insurance company via a smartphone app.

The decision on whether to automatically file an insurance claim is determined based on the authentication results on a blockchain where subscribers, insurance companies, and medical institutions participate together to share authentication information, and the entire process of the claim is recorded on the blockchain and managed transparently.

This pilot service, which will be operated starting this December for three hospitals in the metropolitan area and some Kyobo Life Insurance subscribers, is expected to be expanded to medium and large hospitals nationwide in the future following consultation between the operators based on the relevant results.

Choi Young-hae, Director General of Internet Convergence Policy at the Ministry of Science and ICT, stated, “This pilot project is blockchainHe emphasized, “This is a good example demonstrating that we can play a significant role in issues closely related to people’s daily lives,” and stated, “I hope that through the automated insurance claim service, the public will be able to receive insurance benefits more conveniently.”