AutoClaim: Smart Contract-Based Automated Insurance Claim Processing System

Objective:

To automate and streamline insurance claim processing using smart contracts, reducing delays, fraud, and manual intervention while increasing transparency and efficiency.

Key Features:

Smart Contract-Driven Claims: Automatically triggers and processes claims based on set conditions.

Policy Digitization: Stores insurance policies as digital, smart contracts.

Event-Based Payouts: Uses external data (oracles) to verify incidents (e.g., accidents, weather events).

Fraud Detection Rules: Built-in logic to reject fraudulent or invalid claims.

Real-Time Status Updates: Users can track their claim status through the platform.

Decentralized Recordkeeping: Immutable claim history stored on blockchain.

Technologies Used:

Blockchain Platform (Ethereum / Hyperledger): For secure and tamper-proof transactions.

Smart Contracts (Solidity): To automate the claim process and enforce policy terms.

Oracles (Chainlink, Band Protocol): For fetching external real-world data (e.g., accident reports, weather).

Web3.js / Ethers.js: For connecting frontend with blockchain.

React.js / Vue.js: For user interface.

Node.js / Express: Backend APIs and claim logic handling.

IPFS or Decentralized Cloud: To store claim documents securely.

How It Works:

Policy Creation: Insurance providers create smart contracts based on the terms of the policy.

Customer Registration: Users purchase policies through the platform and link their identity.

Claim Triggering: When an event (e.g., car accident) occurs, an oracle verifies the incident data.

Smart Contract Execution: If conditions are met, the contract automatically processes and approves the claim.

Payout Disbursement: Funds are instantly transferred to the claimant’s wallet or account.

Claim History Storage: Every step is logged on-chain for transparency and auditability.

Benefits:

Speed: Reduces claim processing time from weeks to minutes.

Transparency: All transactions and decisions are publicly verifiable.

Automation: Eliminates paperwork and manual errors.

Cost Savings: Cuts down on administrative and legal costs.

Fraud Prevention: Smart contracts only release payouts when verified conditions are met.