Good news from the Weather Risk Management Association (WRMA), the 12 year old trade association for the weather risk management industry, this week as they announced that they are to broaden the scope of its focus to include areas of weather risk management such as catastrophe bonds, insurance-linked securities and industry loss warranties.
It’s a natural progression for the successful association which will allow it to assist the growth of these other areas of weather and natural catastrophe related risk management and risk transfer. We’re very pleased to see this as it can only help these markets mature and grow. The full press release from the WRMA is below.
Weather Risk Management Association Will Broaden Membership, Promoting All Aspects of the Weather Risk Industry
WASHINGTON, DC – January 15, 2010 – The Weather Risk Management Association (WRMA), now entering its 12th year, remains committed to growing the weather risk management industry.
To achieve that goal, WRMA is expanding its reach to be more inclusive of all companies active in weather risk management, including those active in weather insurance, weather-linked insurance, catastrophe bonds, insurance-linked securities (ILSs), industry loss warranties (ILWs), and other types of parametric weather products.
The weather risk industry helps companies in many sectors – construction, retail, agriculture, energy, transportation, and insurance – mitigate the impact of weather on the bottom line by the use of weather risk management tools. These financial tools – insurance and reinsurance contracts, over-the-counter derivatives, futures contracts – allow companies to offset the operating and financial losses caused by the weather.
“In its first 12 years, the weather industry has grown significantly and has helped many businesses manage the impact of weather on revenue streams,” says Martin Malinow, president of WRMA and CEO of Galileo Weather Risk Management Advisors. “Going forward, WRMA is looking to better represent the entire spectrum of participants in the weather market in order to better serve companies and municipalities who rely on weather risk management tools.”
As a global trade association, WRMA works tirelessly to educate and promote the weather risk industry through its conferences, its annual Industry Survey (the only benchmarking survey for the weather risk industry), and outreach to organizations and government agencies.