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A STEEP framework analysis of the key factors impacting the use of blockchain technology in the insurance industry

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  • Simon Grima

    (University of Malta)

  • Jonathan Spiteri

    (University of Malta)

  • Inna Romānova

    (University of Latvia)

Abstract

The insurance industry plays a key role in any modern economy. Blockchain technology promises to completely revolutionise the industry, with several bold claims made in terms of facilitating and speeding up claims settlements and improving fraud management. In this paper, we examine the factors that may influence the extent of blockchain proliferation and penetration within the insurance industry. We adopt the STEEP framework to analyse the key social, technological, environmental, economic and political/legal issues that may impact the insurance industry’s openness or otherwise to blockchain, drawing on a diverse, multi-disciplinary literature. We supplement this with data drawn from 565 European respondents to a survey on blockchain use within the insurance industry. The results emphasise the need for the industry to properly understand and communicate how blockchain can be implemented across different insurance tasks in order to obtain a more tangible view of its benefits for staff, management and customers alike.

Suggested Citation

  • Simon Grima & Jonathan Spiteri & Inna Romānova, 2020. "A STEEP framework analysis of the key factors impacting the use of blockchain technology in the insurance industry," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 45(3), pages 398-425, July.
    • Handle: RePEc:pal:gpprii:v:45:y:2020:i:3:d:10.1057_s41288-020-00162-x
    DOI: 10.1057/s41288-020-00162-x
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    Cited by:

    1. Hui Zhang & Huanhuan Xiong & Jianxin Xu, 2022. "Dynamic Simulation Research on the Effect of Governance Mechanism on Value Co-Creation of Blockchain Industry Ecosystem," Sustainability, MDPI, vol. 14(12), pages 1-18, June.
    2. Willem Standaert & Steve Muylle, 2022. "Framework for open insurance strategy: insights from a European study," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 47(3), pages 643-668, July.
    3. Davide Lanfranchi & Laura Grassi, 2021. "Translating technological innovation into efficiency: the case of US public P&C insurance companies," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 11(4), pages 565-585, December.
    4. Jie Liu & Shujun Ye & Yujin Zhang & Lulu Zhang, 2023. "Research on InsurTech and the Technology Innovation Level of Insurance Enterprises," Sustainability, MDPI, vol. 15(11), pages 1-19, May.
    5. Ankitha Shetty & Adithya D. Shetty & Rashmi Yogesh Pai & Rohini R. Rao & Rakshith Bhandary & Jyothi Shetty & Santosh Nayak & Tantri Keerthi Dinesh & Komal Jenifer Dsouza, 2022. "Block Chain Application in Insurance Services: A Systematic Review of the Evidence," SAGE Open, , vol. 12(1), pages 21582440221, March.
    6. Christian Eckert & Christof Neunsinger & Katrin Osterrieder, 2022. "Managing customer satisfaction: digital applications for insurance companies," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 47(3), pages 569-602, July.
    7. Sharma, Gagan Deep & Tiwari, Aviral Kumar & Chopra, Ritika & Dev, Dhairya, 2024. "Past, present, and future of block-chain in finance," Journal of Business Research, Elsevier, vol. 177(C).
    8. Ankit Dhiraj & Sanjeev Kumar & Divya Rani & Simon Grima & Kiran Sood, 2023. "Blockchain Payment Services in the Hospitality Sector: The Mediating Role of Data Security on Utilisation Efficiency of the Customer," Data, MDPI, vol. 8(8), pages 1-14, July.

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