PERILS AG has released the 2015 update of its industry exposure database, which now includes property sums insured for Austria Wind, and shows that European windstorm insured exposures are up 3.0% on a constant FX rate basis.
PERILS, the Swiss headquartered provider of industry-wide European catastrophe exposure, industry loss data and indices, typically releases an annual update to the market-wide property sums insured for European windstorm.
For 2015, the PERILS Industry Exposure Database (IED) contains updated insured property exposure information for European windstorm for eleven countries: Belgium, Denmark, France, Germany, Ireland, Luxembourg, the Netherlands, Norway, Sweden, Switzerland and the United Kingdom.
Additionally and for the first time, the updated database also contains property sums insured for Austria windstorm as well. Property sums insured for Italy and UK Flood exposures and Italy Earthquake exposures have also been updated in this latest release.
The in-force date for the sums insured is 1st January 2015. Granularity of the exposure data is on a CRESTA zone, property occupancy type (residential, commercial, industrial, agricultural) and coverage type (content, building, business interruption) basis. The new database release also includes updated information about prevailing deductibles.
The total sums insured over all windstorm markets combined is +4.0% (+3.0% at constant FX rates) up on the figures from the 2014 exposure database release. Changes in country-wide sums insured show a greater variation, according to PERILS. Year-on-year developments are mostly driven by movements in collected sums insured data and movements in market benchmarks, PERILS said.
As well as the updated exposure information, the PERILS database contains loss data for European windstorm across the included countires, Italy and UK flood and Italy earthquake events where the overall industry loss exceeds the PERILS capturing threshold. Information on losses are available at the same level of granularity as the exposure information. Intensity measures, such as gust speed information, are also included in the data.
Luzi Hitz, CEO of PERILS, commented on the release; “As in previous years, the latest version of the PERILS IED is based on newly collected sums insured from insurance companies writing property business in the territories covered. This bottom-up approach ensures that the most current portfolio information is incorporated into the IED on an annual basis, and that changes and corrections in company sums insured are taken into account. Year-on-year movements are therefore driven as much by actual changes on the ground as they are by improvements in data capturing.”
Eduard Held, Head of Products at PERILS, added; “For the first time, the 2015 release of the PERILS IED contains market-wide windstorm sums insured for Austria. We are pleased to be able to announce this extension and would like to thank the Austrian insurance companies for their support in providing their data. The extension of our IED further demonstrates our continued commitment to expanding our market coverage and adding new perils and geographies where we have generated sufficient market support.”
The exposure and market-wide insured loss data enables users to validate their catastrophe risk models with real event information and to analyse market exposures and benchmark losses.
The database also facilitates the creation of custom triggers for transactional purposes, for industry loss based covers such as insurance-linked securities (ILS), catastrophe bonds, industry-loss warranties (ILW’s) and other reinsurance transactions with an industry loss trigger. The data can also be used to carry out the risk assessment of such transactions, helping to ensure consistency with the trigger definition.
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The map shows property sums insured exposed to the peril of windstorm as per 1 January 2015. Compared to 2014, the total sums insured over all windstorm markets increased by +4.0% (+3.0% at constant FX rates). For the first time, the database also contains property sums insured exposed to Austria Wind. To subscribers of the PERILS Database, the sums insured data are available in a CRESTA zone, property line of business and coverage type resolution.
