Paper Details
Smart Contracts based Automate Payouts Enable Crop Insurance Platform
Authors
G. Nivetha, K. Meenatchi
Abstract
Agriculture sector holds a significant position in the Indian economy. Conditions like variations in weather, pest attack, erratic rainfall and humidity affecting agricultural produce is a common problem in India. Thus, it is important to get a coverage in the form of crop insurance for the yield and yield-based losses. Crop insurance is a way to reduce farmers’ distress and to promote their welfare. It covers pre-sowing and post-harvest losses due to natural calamities. The existing traditional methods of crop insurance suffer from intricate processes, elevated costs, and a crucial deficit in trust. This lack of trust has become a significant deterrent for farmers, discouraging them from embracing these insurance mechanisms to protect their crops. This project introduces an innovative block chain-based crop index insurance solution to address these challenges. Leveraging block chain ensures unprecedented transparency, recording every transaction and data exchange on an immutable ledger. The primary aim is to establish a connection among smallholder farmers, weather data providers, and insurers within a secure and efficient ecosystem. The utilization of smart contracts within our private block chain ensures that only registered stakeholders can interact, amplifying security and trust within the ecosystem. This fosters trust among stakeholders and reduces the risk of fraud through smart contracts, which also automate claim processing, addressing delayed settlements. Our central emphasis is on crafting an economical, low-cost index crop insurance system that guarantees prompt insurance pay-outs to farmers for valid claims. The proposed system operates on a decentralized, distributed architecture, removing the necessity for intermediaries and providing a safeguard against exploitation for smallholder farmers. This initiative seeks to enhance the overall efficiency and trustworthiness of crop insurance by leveraging the advantages of private block chain technology.
Keywords
Citation
Smart Contracts based Automate Payouts Enable Crop Insurance Platform. G. Nivetha, K. Meenatchi. 2024. IJIRCT, Volume 10, Issue 4. Pages 1-4. https://www.ijirct.org/viewPaper.php?paperId=2406028