Ensuro: A Decentralized Insurance

What is Ensuro
Ensuro is a decentralized underwriter to support insurance products. It will democratize the possibilities and the benefits of being an insurer for everyone while allowing innovative companies to nurture and deploy novel, life-changing insurance products.
In African insurance under-collateralization is a common problem that blockchain can mitigate. Ensuro is aligned with the vision of Cardano "to be the financial stack for the developing world".
Current Status
1. Ensuro has a functional prototype built on Solidity.
2. Won the first prize in the Binance Hackathon: The Future is now: https://gitcoin.co/hackathon/projects/binance/ensuro/
3. A team of 4 people with a strong background:
Chief Executive Officer: https://www.linkedin.com/in/marco-mirabella/
Chief Technology Officer: https://www.linkedin.com/in/guillermonarvaja/
Chief Scientific Officer: https://www.linkedin.com/in/luca-mungo-a26278103/
Chief Risk Officer: https://www.linkedin.com/in/gian-giacomo-della-torre-575b02114/
The team is advised by Darren Camas former advisor at Cardano: https://www.linkedin.com/in/dcamas/
Ensuro has three main goals:
1. It allows everyone to participate in the risk market and provide capital to back up insurance products.
2. It can provide a fast route for novel insurance products and operators to collect working capital, reducing the sector's entry barriers.
3. It can automatize the payment of claims and remove insurance's information asymmetry and moral hazard issues.
The Ensuro protocol will be composed of two main components:
1. Liquidity pool:
Ensuro created a dynamic pool governed by a smart contract on the Cardano blockchain (Liquidity Pool) in which Liquidity Providers (LPs) can deposit money under the form of stable coins , defining their acceptable cashback period, namely the amount of time they are willing to wait for receiving their money if they ask it back.
The presence of well-defined cashback periods permits the protocol to plan ahead, i.e., to compute the amount of capital available at any point in the future. This clear forward vision allows Ensuro to operate at the desired solvency level (99.5%, in line with the EIOPA's Solvency II regulation).
Insurance is a profitable business. Being at the core of the protocol, liquidity providers will share the profits coming from the pool. More specifically, each of the liquidity providers will receive a share of the profits depending on his deposit's size and the length of his cashback period. Intuitively, the protocol will favor liquidity providers that will lend more money for extended periods.
2. Risk monitoring module:
The Ensuro protocol will allow the deployment of different models to cover several types of risk (Risk model). The Ensuro's risk monitoring module will allow different risk model to integrate with different blockchain oracles (i.e. API3) to increase transparency in the claiming process.
In order to protect the Liquidity Providers of our system the Ensuro Risk Monitoring Module will perform continuous Quality Assurance Tests (QA) on each module to continuously evaluate the performance of each risk model.
Go To Market :
As first step Ensuro will target Risk model providers and MGA in order to have their system deployed on the protocol.
Given the structure of the pool, the goal of the protocol is to obtain an uncorrelated and diversified portfolio of risk modules. In the first 3 months the focus of the business team will be to convince at least 3 model providers that create products for different sectors (i.e. flight delay insurance, crop insurance, weather insurance, etc).
At the beginning the company will target parametric insurance products because they do not require human intervention in the claim process thus reducing possible fraud, in the future the protocol will also include non parametric products.

Estimated Roadmap

2021 Q2:

• Writing whitepaper

• Define token-economics

• Design and launch website

• Set up social media profiles and public channels for interaction with the community

• First version of the smart contracts (Liquidity pool and QA)

2021 Q3

• Partnership with at least 3 MGAs or white label risk model providers from different sectors (i.e. flight delay insurance, crop insurance, weather insurance, etc)

• Audit of the smart contract from third party auditor

• Launch pilot with real users (Liquidity providers) and Risk Model provider

2021 Q4

• Launch full service

• Definition of DAO for selection of risk models providers, and overall decision of the protocol

2022

• Partnership with tier 1 reinsurance company

Ask
In order to increase visibility and trust from potential clients the company would need to create a professional website and start increasing its online presence, for this reason we are considering hiring a social media manager (part-time). The estimated cost will be 3k usd for the website + 500 USD/ month for the social media manager.
Our team is composed of 4 people that are currently working full-time without a salary. We are expecting to use part of the funds to pay a minimum salary (2k USD each) to the members of the project to allow them to focus on Ensuro for 6 months before the protocol will be fully functional and generate revenues.
In total we would need US1.5k [design of professional website]+500/month*3 months [Social media Manager] + 2k/month*6 months*4 people [Salary for team] ~=US50k