The company envisages the flight data being used for flight insurance, supply chain management and risk assessment. There have been several parametric flight insurance applications in the past that involve an automatic payout in the event of a delay without the need to make a claim. Major insurer AXA was one of the first to launch this type of insurance back in 2017, but it was perhaps too early and saw insufficient demand.
“By bringing this key aviation data on-chain through Chainlink, LexisNexis is accelerating smart contract innovation and supporting the growing adoption of blockchain-based specialty insurance solutions,” said Jeff Reihl, Global Chief Technology Officer, LexisNexis.
The data comes from LexisNexis sister company Cirium that specializes in travel and aviation.
“The aviation industry, especially commercial aviation, is increasingly looking at and adopting blockchain technology to address current and future business challenges in the supply chain and across the travel value chain,” said David White, VP Market Strategy at Cirium. “Leveraging smart contracts can eliminate or simplify the significant efforts that are spent on contracts, monitoring of the fulfillment stage, reconciliation, invoicing, and settlement.”
Chainlink is the largest decentralized oracle network. Oracles enable external data to be used in blockchain smart contracts. However, there’s a need to ensure that data is robust and can’t be easily tampered with, because it could have a significant monetary impact. Hence the use of a decentralized network.
LexisNexis Legal & Professional is part of LexisNexis Risk Solutions which has integrated a blockchain-based self sovereign identity solution for logins and payment and identity verification.