Blockchain application with artificial intelligence support for micro insurance system

The insurance system provides important services that contribute to social welfare with the economic and social support it provides to individuals and institutions. The basic services offered by the insurance system to individuals and institutions include easy credit and savings, a peaceful and safe social solidarity environment, and effective risk management, but today's traditional central insurance system has difficulties in fulfilling these services. In this context, the insurance system is faced with many problems, especially trust. Especially in agricultural insurance services, the narrow coverage of insurance, high insurance premiums, long damage payment periods, subjective decisions made by loss adjusters and the society's distrust in insurance services are among the main problems. These problems create the basis for only twenty percent of the farmers to be covered by insurance, and the low number of farmers benefiting from agricultural insurance also threatens the sustainability of agriculture. Especially during the Covid-19 pandemic process, awareness of the linear link between the sustainability of agriculture and the sustainability of human life has increased. In this way, the importance of increasing the access of the actors, namely farmers, who create value at the starting point of the production chain for sustainable agriculture, to insurance in order to secure their production with insurance has emerged again, because the product to be secured by insurance will provide a sustainable future for all stakeholders who have a relationship with the agricultural ecosystem. The aim of this thesis is to design and develop a new generation decentralized and sustainable micro insurance model with the integrated use of blockchain, artificial intelligence and IoT technologies for the agricultural insurance branch in the traditional insurance system. The value proposition of the model presented in the thesis; It is to protect low-income small farmers against damages and to prevent insurance companies from paying high indemnities for damages, with a preventive insurance approach against climate change and natural disaster damages, the incidence of which is increasing, thanks to artificial intelligence supported weather forecasting. Within the scope of the thesis, it is also possible to facilitate farmers' access to insurance by paying low insurance premiums with the use of smart contracts, to support farmers to realize their production safely by reducing the compensation payment period of insurance companies and reducing income losses, to reduce negative opinions about agricultural insurance by increasing transparency in agricultural insurance, to make decisions with data with the support of IoT. and to provide support to insurance companies in preventing insurance abuses. Increasing trust in the insurance system will expand the new generation of decentralized micro-sustainable insurance and increase its market share in insurance. This will contribute to the strengthening of the social-economic impact of insurance and the increase in social welfare.