Ensuro

Ensuro operates as a decentralized and licensed (re)insurance platform, bridging decentralized finance (DeFi) with the traditional insurance market. Founded in 2021 by Marco Mirabella, Guillermo Narvaja, and Gian Giacomo Della Torre, the company is headquartered in Singapore. The founders' backgrounds in technology in Latin America and Europe spurred their interest in applying blockchain to solve real-world problems, identifying insurance as an ideal fit.

The company's business model centers on providing an alternative capital source for insurance. It does this by creating liquidity pools where both retail and institutional investors can deposit funds in the form of stablecoins, such as USDC. This aggregated capital then serves as the underwriting capacity for insurance products offered by Ensuro's partners, primarily managing general agents (MGAs) and insurtech companies. Revenue is generated from two primary streams: a share of the insurance premiums and the yield generated from investing the collected capital into DeFi protocols like Aave.

A significant milestone for Ensuro was achieved on January 1, 2022, when it received an Insurance General Business (IGB) license and a Digital Asset Business License (DABA) from the Bermuda Monetary Authority (BMA). This licensing makes Ensuro the first authorized reinsurer to underwrite risk using smart contracts and stablecoins for its solvency capital. The platform's core technology utilizes smart contracts to manage the entire policy lifecycle, from allocating capital reserves to automatically processing claims. This approach aims to reduce operational costs and increase efficiency, allowing for the rapid launch of pilot programs and innovative products.

Ensuro's services are particularly suited for parametric insurance products, where payouts are triggered by verifiable external data points, enabling automated claims. The company also provides capacity for warranty and benefit products, with a focus on high-volume, small-payout policies with short-tail risk. It targets both emerging markets, with products like crop insurance for smallholder farmers in Kenya, and developed markets with use cases like travel insurance for flight delays or mobile phone screen protection. By connecting DeFi investors with insurance risk, Ensuro provides a new asset class for investors seeking diversification and offers a streamlined, cost-effective capital solution for insurance providers struggling to find capacity through traditional channels. Keywords: decentralized insurance, reinsurance, insurtech, DeFi, blockchain, parametric insurance, smart contracts, liquidity pools, stablecoin, underwriting capacity, alternative capital, asset class, risk management, digital assets, Bermuda Monetary Authority, capital provider, crypto-capital, MGAs, embedded protection, insurance innovation