5.9.3 Insurance business operator

Insurance business operator is an additional business operator who enables the participants of LEMONCHAIN ecosystem to provide services in excess of the token staked to the participants by executing the role of guaranteeing the execution of the contract on behalf of the service providers. Each service provider can guarantee the execution of additional contracts through the use of insurance business operator in order to increase the number of services that the provider can handle simultaneously by paying prescribed fees to the insurance business operator as remuneration thereof.

Insurance business operator needs to make compensation on behalf of the service provider if the provider fails to fulfill its obligation under the service contract. For this purpose, the insurance business operator also needs to stake prescribed quantity of LEMC token. Insurance business operator can also enter into insurance contract in proportion of the quantity of token staked and can adjust the insurance premium/fees by computing the risks based on the past history of each service provider. The insurance business operator plays key role in enabling late comers in the provision of services to participate in the LEMONCHAIN ecosystem at low cost.