Press Release (ePRNews.com) - LOS ANGELES - Sep 12, 2017 - Umbrella Coin: Modern Take on Age-Old Insurance
The insurance industry is one of the many sectors desperately crying for innovation. The industry has failed to keep up with today’s new challenges, resulting in higher premiums and inefficient services.
Thankfully, innovation comes naturally in the era of blockchain.
The founders of Umbrella Coin, a promising project being developed under the Ethereum blockchain, saw the opportunity to revolutionize the insurance industry by providing both a complementary service to existing insurance. Armed with a vision of a modern, more efficient and inexpensive premiums, Umbrella Coin is among the most intriguing Initial Coin Offerings (ICOs) launched to date.
What’s wrong with insurance?
Umbrella Coin realizes the many problems facing the insurance industry and hopes to help fix those problems thru augmenting, not replacing. The problem of high cost, limited coverage and the complicated process of making a claim have long burdened the insurance industry.
In existing insurance models, service providers incur a significant cost which they then pass to consumers. Most insurance is sold through an agent or a broker who is paid for as much as 20-30% of the plan’s annual premium — a large chunk of change that if reinvested, could provide decent returns.
That doesn’t even include the cost of overhead, piling up month after another, eventually increasing the cost of a premium. Policy holders also suffer from the rising cost of their premiums as they are deemed as “greater risk” as they age. Some are instantly denied for “pre-existing conditions” that could take the form of the most common like acne, asthma or even sleep apnea.
Insurance companies also do not take into account the out of pocket cost incurred by policy holders including the cost of not being able to go to work or the cost of lost opportunity.
Meanwhile, service providers make a lot of money by ‘pooling’ premiums paid by customers and putting it into various investing vehicles including the stock and bond markets. Instead of sharing the interest gained from these investments, service providers do everything in their capacity to make it harder for policy holders to make a claim.
Borrowing a line from the company’s whitepaper:
“Insurance companies are reduced to glorified money managers, fighting to pay as little as possible to protect their bottom line”
Umbrella Coin — how it works?
Umbrella Coin deals with all those aforementioned wastage and inefficiencies by making everything simple, whoever holds the token can be both the policy holder and the service provider. To put it simply, there is no middle man and no service provider overhead, resulting into a more affordable alternative.
Umbrella Coin is the perfect alternative for those who can’t afford the high cost of premiums offered by traditional insurance companies. In addition to, Umbrella Coin is complementing holders of a traditional insurance policy by “insuring” out of pocket costs that are almost always not considered in an insurance claim.
Under the Umbrella Coin concept, anyone who holds a token can choose to purchase an insurance plan that is worth five (5) times his investment. If he decides to opt in, he will be a policy holder with the option sell his policy in the open market.
Compared to existing vjmv service providers which may or may not approve your insurance application, Umbrella Coin will introduce universal coverage. Umbrella Coin can be used to cover anything, whether life, health care, vehicle, fire, property or renter’s insurance.
Another advantage of Umbrella Coin over existing insurance is that a policy holder can get a full refund if the insurance is unused after the coverage period.
At the end of the coverage period, Umbrella Coin will return to unused portion of the insurance. For instance, if you buy an insurance plan worth 1,000 tokens and you only used 600 in valid claim, you are entitled to a refund of 400 tokens. That concept is foreign to any existing insurance plans in the market.
The Umbrella Coin ICO / Crowdsale
Led by a team of blockchain and insurance industry experts, Umbrella Coin is pretty straightforward they are not in the business of replacing insurance but augmenting it and providing an alternative to consumers.
In order to achieve this, the company is holding an ICO/Crowdsale from August 20 to October 20 with huge bonuses awaiting early investors!
Umbrella Coin has already raised 1456.69 ETH! Umbrella Coin is a new player in Insurtech that aims to revolutionize the insurance industry using Ethereum blockchain technology. UMC plans to not only make the industry fast and safe but democratized. Umbrella Coin is not insurance, but rather a complement to traditional insurance.