# Blockchain-Driven Generalization of Policy Management for Multiproduct Insurance Companies
## 3 Problem Statement
### Analysis of the Traditional Architecture of an Insurance Company  
Based on a comprehensive insurance management system, we conducted an analysis aimed at identifying areas for improvement. The goal is to generalize the information in a way that it can be applied to any type of company and insurance branch, whether it be life, health, auto, home, etc. We conducted the analysis in two distinct phases. In the first phase, we reviewed the complete operational flow that a customer or policyholder can engage in from the moment they purchase a policy, regardless of the insurance branch or the nature of the insurance company. To achieve this, we adopted a use-case-based methodology [20], from which the following use cases were defined. Figure 1 illustrates these use cases. In general, the customer has five distinct groups of actions:  
* Policy Management: This encompasses the initiation of the commercial relationship between the insured and the insurance company. It includes operations such as policy issuance and cancellation, management of policy guarantees and coverages, and premium payments. * Claim Filing: This is one of the most common operations in the insurance market. When the insured experiences a loss, regardless of the type of insurance purchased, a claims process is initiated. For example, if it is a homeowner's insurance policy and a water pipe has burst. * Damage Assessment: Sometimes, after a claim is filed, the insurance company or the claims processing firm may require appraisal services to assess the declared damages. This serves as a first barrier against fraud. * Repair or Compensation: When a claim is filed, the damages and their causes are evaluated. The coverages included in the policy are also validated. Based on this, the insurance company will approve the repair of the damages or the financial compensation established in the policy's coverages. * Quality Assurance: Insurance companies typically have a quality assurance service where clients can file complaints and claims. Discrepancies regarding the services provided or decisions made by the insurers are evaluated by an external entity seeking a certain degree of objectivity. The decisions previously made can be upheld or overturned. The second phase focuses on the analysis from a technical and functional perspective of the operational architecture in a traditional system. The main processes are briefly detailed below:  
* Integrated Multi-Policy Management Process: This constitutes the core of the company. It encompasses comprehensive management throughout the entire lifecycle of a policy. It includes the management of customer information, policy updates, and financial data such as scales, premiums, or insured capital. * Assessment Process: Handles the entire lifecycle of claim assessment management. This process may be outsourced. * Quality Process: Manages customer issues or complaints related to claims, policies, or assessment assignments. * Economic Management Process: This involves the management of all financial aspects, such as payments, repair invoices, compensation, recovery management, and tax procedures. If there are outsourced processes, the billing for these services is also included. * Assistance Process: Manages the entire lifecycle of a claim associated with a policy. This process may also be outsourced. * External Companies: As mentioned earlier, certain processes may be outsourced. The company communicates with various entities using different methods (API, FTP, Batch) to exchange information, perform tasks, or carry out verifications. It should be noted that this can increase the existing relationships between entities, thereby potentially increasing system duplications. Additionally, it may lead to difficulties in terms of interoperability and system integration, data inconsistency, higher implementation and maintenance costs, etc.