AAIS openIDL

Download Fact Sheet

Introducing openIDL...Governed by AAIS on IBM Blockchain

The all-new openIDL (open Insurance Data Link) is the first blockchain platform that enables the efficient, secure and permissioned-based collection and sharing of statistical data. The openIDL is an open blockchain network that streamlines regulatory reporting and provides new insights for insurers, while enhancing timeliness, accuracy, and value for regulators.

The openIDL streamlines the burdensome statistical reporting process that provides little value to insurance carriers and insufficient information for insurance regulators. It offers carriers a secure and reliable blockchain environment for the storage and selective sharing of statistical data (policy, premium, claims and loss experience data) with AAIS as an authorized statistical agent and advisory organization.

Statistical Reporting Today 

Among insurance regulators’ primary responsibilities are the preservation of long-term solvency of insurance companies and the protection of insurance consumers from unfair and discriminatory treatment. To monitor the insurance marketplace, the NAIC established the P&C Model Rating Law, which regulates insurance rates and provides for limited, controlled cooperation among insurers in ratemaking-related activities. The Model Law also defined methods for insurers to follow in reporting data and established statistical agents, like AAIS, to collect data and report statistics to insurance commissioners.

Since the Model Law was enacted 70 years ago, much has changed. Insurers have moved from paper-based forms and a scarcity of data to automated computer-based systems that collect and integrate a growing abundance– and redundance – of data from stakeholders across the industry and policy lifecycle. Analytics and risk models are commonplace, as new and challenging risks emerge often and more quickly. Advances in technology and change in social norms require new insurance products and services… and speed to market is critical to success.

The Future of Value-added Statistical Reporting Has Arrived!

As a member-focused advisory organization and authorized statistical agent, AAIS recognized the potential for emerging technologies to improve the way insurance industry data is collected, managed and reported to regulators. Over the past 5 years, AAIS invested in a modern infrastructure to support current and future needs of AAIS, its member insurance carriers and regulators.

AAIS also established special arrangements with Associate and Alliance Partners so AAIS Members may gain unique access to an array of products and service providers that complement AAIS advisory solutions, including data, underwriting and marketing capabilities, modern technology products and integrated services.

Now, AAIS has partnered with IBM to develop a whole new way for stat reporting to be more efficient, effective and valuable, leveraging blockchain technology.

The result is the openIDL...Governed by AAIS on IBM Blockchain!

The openIDL is the first secure, open blockchain platform that enables the efficient and permissioned-based collection of statistical data on behalf of insurance carriers, regulators and other participating contributors.

The openIDL blockchain streamlines the time-consuming and expensive regulatory and compliance requirements carriers experience today, to create operational efficiency, flexibility, interoperability and product development opportunities. The openIDL supports statistical reporting for current and future data calls from regulators, often around emerging or regional exposures or specific events.

With access to timely and accurate information, regulators and reporting carriers receive more holistic and dynamic reporting, as well as valuable and relevant insights into exposures and market trends. Once reports are complete, regulators review and publish the report to the openIDL.

While contributing statistical data to the openIDL Distributed Ledger satisfies regulatory requirements, data remains private and protected from external parties and other openIDL participants. Participating carriers will also see their own data profile to understand how their data compares to the rest of the reporting market.

AAIS & IBM…Ideal Partners in Transforming Data-Sharing in the Insurance Industry.

AAIS is the only national, not-for-profit insurance advisory organization and authorized statistical agent. AAIS continues to operate under the NAIC Property and Casualty Model Rating Law, maintaining its impartiality and sole commitment to the success and advancement of its members, insurance regulators and the industry as a whole. With its unique position in the industry, AAIS serves as openIDL administrator, providing unbiased governance for the blockchain platform within existing legal and regulatory frameworks.

IBM is recognized as the leading enterprise blockchain provider, working with hundreds of clients across financial services, supply chain, government, retail, media and healthcare to implement blockchain applications, and operates a number of networks running live and in production. openIDL works with IBM Blockchain to radically transform insurance operations with faster verifiable data exchanges, a foundation of transparency, and transactions underpinned with pervasive security and trust.

openIDL will run on the IBM Blockchain Platform powered by the Hyperledger technology, which currently hosts 250 active blockchain networks, and hundreds of individual blockchain projects across various industries. Hyperledger is an open source collaborative effort created to advance cross- industry blockchain technologies hosted by the Linux Foundation. Hyperledger provides the groundwork to scale openIDL for insurance industry-wide access.

AAIS is committed to establishing and maintaining an agnostic openIDL network, providing efficient access by insurance carriers, regulators, agents and brokers, reinsurers and reinsurance brokers, data & analytics firms, advisory organizations and stat agents, as well as other blockchain consortia, platforms and applications.

As an open blockchain, the openIDL will enable access to new insights from shared experience and input for the development of new products and services and market response and resiliency–not to monetize statistical data. The openIDL will expand with new features and capabilities to support a broad array of use cases by carriers and a growing network of industry partners.

Get Linked Today!

AAIS Members may participate in the openIDL blockchain as part of their existing or new program affiliations. AAIS welcomes participation in the openIDL from across the insurance industry through special Data Affiliation and Membership agreements.

To find how you can “Get Linked” contact an AAIS Advisor-or complete and send the form below.