Blockchain Used For Surety Policies In Team-up Of Bari, SIA Platform

Blockchain, FinTech, Innovation, Investing, Regulation | February 9, 2019 By:

The Municipality of Bari and payments platform SIA have teamed on a blockchain project that aims to digitize the process of managing surety policies.

A surety policy is an insurance contract through which an insurer guarantees compliance of performance to the purchaser concerning a contractual obligation or legal disposition. 

This is the first experiment in Italy of use of Distributed Ledger Technology (DLT) relating to sureties in the public sector that will allow the Municipality of Bari to bypass the issuance process by banks, financial intermediaries, and insurance companies and certify the sureties unequivocally and irrevocably.

The project will contribute to reducing the processing times of the various phases, eliminating any manual errors, and also prevent possible fraud by unauthorized parties related to the presentation of false documents.

The experiment will make use of the SIAchain technology infrastructure designed and implemented by SIA.

“The project we have undertaken in collaboration with SIA will allow us to implement policies on the development of new technologies with significant progress in digitization and in the belief that, by increasing our experience in the use of DLT, we can support the work of PA bodies while triggering unprecedented technical and employment scenarios,” said Antonio Decaro, mayor of Bari. “We want this initiative to develop and generate value, both in the public and private sectors, and drive other public administration bodies to start up similar projects. Bari has already taken up the challenge of innovation.”

“The launch of the blockchain project with the Municipality of Bari represents a milestone in the field of digital PA in Italy,” said Nicola Cordone, CEO of SIA. “It shows that local authorities have the potential to improve and simplify complex administrative procedures by investing in new technologies. SIA supports the public sector in this path of innovation with the conception and development of initiatives, in protected mode, which are part of a broader digitization program of the country. We strongly believe that the SIAchain infrastructure, thanks to its high performance and safety features, offers significant benefits.”