ERGO Hestia Expands Pilot To Pay Instant Digital Refunds In Tokenized National Currency
Insurance company ERGO Hestia has teamed with Polish blockchain firm Billon to pilot instant premium refunds to insurance customers using blockchain technology.
ERGO Hestia is the second largest insurance company in Poland. It includes two insurance companies: STU ERGO Hestia SA and STU na Życie ERGO Hestia SA. The Group’s companies offer coverage for individual clients in the field of property and life insurance, as well as for industry and SMEs. ERGO Hestia has a portfolio of 4 insurance brands: ERGO Hestia, MTU, mtu24.pl and You Can Drive.
Founded in the UK in 2015, Billon created a DLT protocol and system specifically for tokenizing and transacting national currency and processing sensitive data in compliance with regulations, thus unleashing the transformational capabilities of blockchain technologies in the regulated world. Its unique blockchain protocol has been supported by many R&D grants, including the EU Horizon 2020 program. Billon is licensed to issue electronic money by regulators in the UK and Poland.
The companies are piloting a solution for delivering instant refunds of premium overpayments to the insurer’s clients using Billon’s blockchain technology. A select group of ERGO Hestia’s customers has been receiving the blockchain-based payments since early September and is now being expanded.
According to the companies, the new approach uses Billon’s Distributed Digital Cash system to enable ERGO Hestia in a new digital engagement process. With this fully digital and automated solution, ERGO Hestia’s clients will be able to collect funds with no operational engagement of the insurer.
Jacek Figula, chief commercial officer of Billon Group, said that Billon met the challenge that ERGO Hestia faced in expediting premium returns to the clients.
“Billon has turned the process fully digital and automated the interaction with the end-client,” said Figula. “If the insurer did not have customer bank account numbers on record, processing refunds was challenging,” Figula explained. “We are certain that our solution can bring real value also in other sectors, such as telecommunications.”
Oskar Jedynasty, ERGO Hestia’s head of automation division, IT department, said that when it comes to receiving premium refunds, our customers value security, speed and simplicity.
“With this pilot, we’re aiming to not only deliver these benefits but to further our commitment by managing costs effectively through innovative, smart uses of blockchain technology together with Billon Group,” Jedynasty said.
