Beginner's Guide
Earthquake Insurance,Explained Simply.
No insurance jargon. Just the story of how blockchain makes earthquake payouts automatic — and why that changes everything for insurers, enterprises and society.
The Risk
Japan has the world's most dangerous earthquake peril.
Japan sits on 4 tectonic plates. Major earthquakes occur regularly, causing catastrophic economic losses — yet the insurance system to handle them is still largely manual and paper-based.
🏙️
1995 · Hanshin
~$100B
Mw 6.9
🌊
2011 · Tohoku
~$220B
Mw 9.0 + Tsunami
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2016 · Kumamoto
~$35B
Mw 7.0
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2024 · Noto
~$10B
Mw 7.5
Sources: USGS/JMA (Mw); Cabinet Office of Japan, World Bank, Moody's RMS, Gallagher Re (economic & insured losses).
Two Approaches
Traditional insurance vs. Parametric insurance
Traditional insurance pays based on assessed damage — slow and subjective. Parametric insurance pays automatically when a pre-agreed trigger is met. No claim forms. No assessment. Just: did it happen? Then pay.
❌ Traditional Insurance — Slow & Opaque
The result:
Months of waiting • Opaque process • May be denied • Cash flow crisis during rebuilding
✅ Parametric Insurance (DeIn) — Automatic & Fast
The result:
Next-day payout • Transparent trigger • No subjectivity • Cash available exactly when you need it
The Industry
Who are the players in (re)insurance?
Insurance doesn't go directly from you to a single company. Risk flows through a chain of specialists — each adding value, but also adding delay and paperwork. DeIn sits at the MGA layer and automates it all.
Lloyd's Syndicate
Capacity Provider
Provides the capital. Sets the terms and limits for how much insurance can be written.
DeIn (MGA / Coverholder)
DeIn's roleManaging General Agent — on Blockchain
Designs and manages earthquake parametric insurance products on behalf of Lloyd's. All operations run on blockchain — real-time pricing, automatic bordereaux, live capacity.
Broker
e.g., AON, Willis
Finds the right insurance product for the client. Places the risk with the right insurer.
Enterprise
The Insured
The business that needs insurance coverage against earthquake risk. Onboards quickly and receives automatic payouts.
DeIn's positioning: As an MGA (Coverholder), we design and manage Lloyd's products and deliver them to insurers and enterprises through brokers — with all operations on blockchain.
Before & After
The old way vs. the DeIn way
The same players — but everything changes when operations run on blockchain instead of paper and spreadsheets.
Traditional Flow — Manual & Slow
High operational burden: Audit & reconciliation take weeks · High oversight cost · Slow to delegate underwriting authority
DeIn Flow — Automated & Real-time
Lloyd's operational transformation: Eliminate manual processes · Dramatically shorten audit · Enable new risk transfer & capital allocation
The Technology
How blockchain transforms an earthquake into a payout
Five components work together automatically. No human intervention required.
01
Smart Contracts
Terms, triggers, pricing and payments are coded and executed automatically on Ethereum.
02
On-chain Data
All transactions are recorded immutably. Anyone with permission can verify — permanently.
03
Oracle (Chainlink)
Trusted seismic data is securely fed into the blockchain. Triggers are validated in real time.
04
Automated Settlement
Trigger is verified and payment executes automatically. Fast, transparent and immediate.
05
Auto Reporting
Bordereaux and all reports are auto-generated from contract data. Real-time, audit-ready.
Ethereum (Public Blockchain) — Ensuring high security, transparency and interoperability
Why Blockchain?
A contract that enforces itself
Software and AI can detect problems and flag them. Only blockchain can prevent them from happening at all. For earthquake insurance, where payouts are irreversible, prevention is everything.
Rules Can't Be Broken
A traditional MGA can accidentally bind beyond its mandate. In DeIn, it's system-impossible — the smart contract rejects the transaction before it completes.
Example: An MGA allowed to write ¥10B of cover tries to write ¥11B. The blockchain rejects it automatically — no human oversight needed.
Everyone Sees the Same Data
Today, insurers, MGAs and brokers each maintain separate books that must be manually reconciled. DeIn uses one shared ledger — like a live shared document no one can delete.
Example: The syndicate in London sees the exact same capacity data as the MGA in Tokyo — in real time, with no emails or spreadsheets.
Payout Must Be Right Before It Fires
Once an earthquake triggers a payout, it's automatic and irreversible. It can't be clawed back — so the rules must be enforced before the event, not reviewed after.
Example: When Mw 7.0 is detected, the smart contract verifies all conditions and sends payment within 24 hours, with a permanent blockchain record.
The Value
What changes when DeIn is the operating layer
90%+
Manual work eliminated
Bordereaux & reporting automated
Months→Weeks
New product launch speed
From design to payout in code
Weeks→Real-time
Audit & reporting time
Live monitoring & auto-reports
100%
Transparency & accuracy
One source of truth for all parties
Launch New Products in Weeks
From pricing design to policy, trigger and payout — all in code. Launch new parametric insurance rapidly, not over months.
Automate Lloyd's Back Office
Bordereaux, policy data and payment history are auto-generated from contract data. Eliminate manual entry, rekeying and reconciliation.
Delegated Authority in Code
Authority Limit, Aggregate Limit and geo-restrictions are monitored in real time. Exceeding authority is system-impossible.
The Roadmap
Starting with earthquakes — scaling to all perils
DeIn's infrastructure is built to expand. Once the earthquake engine is running, the same rail works for floods, typhoons and beyond.
Phase 1 · Now
Earthquake Parametric
- Real-time pricing & policy logic
- Bordereaux auto-generated at bind
- Live accumulation & capacity view
- Trigger & settlement automation
- Audit-ready live reports
Back office fully automated from Day 1
Phase 2 · Next Step
Multi-Peril Platform
- Flood, typhoon, volcano, BI expansion
- Expand MGA/Coverholder network
- Scale to Japan & Asia-Pacific
Same infrastructure, new perils
Phase 3 · Future
Alternative Capital Layer
- Web3 staking layer for first loss
- Transfer catastrophe risk to ILS capital
- Improve capital efficiency
- Regulation-aligned structure
Next-generation ART (Alternative Risk Transfer)
DeIn's Mission
Deliver transparent, trustworthy insurance powered by blockchain to every enterprise preparing for natural disaster risks — faster, easier and more simply.
The Market
A growing global opportunity
The parametric insurance market is underserved and growing rapidly as climate risk and disaster frequency increase worldwide.
Target Market
Parametric Insurance · Japan
USD 1.5B–3B
¥200B–¥460B
Near-term focus: USD 100M–200M (3–6 years)
Expansion (SOM)
Asia Parametric
USD 8B–15B
¥1.2T–¥2.3T
Multi-peril, expanded MGA network
Vision (TAM)
Global Specialty Parametric
USD 50B–80B
¥7.5T–¥12T
All perils, global reach
Source: Swiss Re (2023 sigma), AON Reinsurance Solutions, RMS, Various Reports · *1USD = 150JPY
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