I recently came across this article:
There they claim to have built an Flight Insurance Smart Contract called InsurEth (to insure against flight delays), and they say this:
"In this case, a delayed flight is a matter of fact and public record. It does not rely on anyone’s judgement or individual assessment. It is what it is. If the event occurs, the smart contract gets triggered and the pay out is made. Automatic and immediate, with no claims processing costs for the insurer and satisfaction for the customer."
How is this possible?
As far as I know a Smart Contract cannot execute itself out of nothing, someone or something has always to do a transaction calling a payback method, and only then, the funds can be paid out.
As far as I can see, for insurances, there always needs to be a human validation, to confirm that an event really happened.
Or how could this work in the way they describe?