McKinsey & Company releases blockchain report to study the impact of blockchain on the insurance industry (download the full report)

McKinsey & Company, one of the world’s most renowned management consulting firms, recently released a report (download the full report) examining whether blockchain technology will have a negative or positive impact on the insurance industry.

The report Blockchain in insurance——opportunity or threat? titled “Blockchain in insurance — opportunity or threat?”, states that more than 20 blockchain startups are currently focusing on researching the application of blockchain in the insurance industry.

McKinsey grouped the “most promising insurance-related use cases” into three categories: boosting growth, improving efficiency, and reducing costs by automating key processes, all of which the report said would have a positive impact on insurers.

The report goes on to highlight potential threats to blockchain, such as the scalability of blockchain networks, security, and lack of industry standardization, which are difficult to resolve.

The report concludes: “Blockchain technology is well suited for insurers to explore. However, it is still a long way to go before it is widely adopted because blockchain is a distributed system and therefore its value depends primarily on collaboration with competitors, suppliers or others.”

About McKinsey & Company

McKinsey was founded by James O'McKinsey in the United States in 1926, and he also pioneered a new era of modern management consulting. Now McKinsey has become the world's most famous management consulting company, with 84 branches or offices in 44 countries and regions around the world. McKinsey currently has more than 9,000 consultants from 78 countries, all of whom have advanced degrees from world-renowned universities.