AXA Climate, the parametric specialist risk transfer unit of global insurance and reinsurance company AXA, has partnered with SatSure AG, a provider of decision intelligence solutions using satellite data, to roll-out parametric risk transfer solutions around the globe.
AXA Climate will underwrite the parametric risks, presumably on an insurance and reinsurance or derivative and swap basis, while SatSure will leverage its machine learning and big data technologies to bring rich risk assessment and analytics to support these parametric risk transfer solutions.
“Climate risk understanding and mitigation is key to reduce the financial consequences that climate-related events may have on communities and businesses,” AXA Climate said.
As a result, the company, a division of global insurance and reinsurance group AXA, has signed a Memorandum of Understanding (MoU) with SatSure to jointly offer parametric insurance solutions to both private and public sector institutions on a global basis.
SatSure will provide a detailed risk assessment using SPARTA, its intelligence platform driven by satellite data and analytics, while AXA Climate will underwrite and price climate-related risks for clients operating across the agriculture and critical infrastructure sectors.
“AXA Climate is proud to be a data-driven insurance provider. Today, we’re pleased to announce our partnership with SatSure to use satellite data and analytics to innovate climate risk management,” Antoine Denoix, CEO of AXA Climate said.
“We look forward to working with SatSure in delivering on our mission to provide immediate protection for communities and businesses against climate risks.”
Abhishek Raju, Global MD & Co-Founder at SatSure AG commented, “We are very excited about this partnership with AXA Climate, and believe that it is globally disruptive with the marriage of deep analytics and financial product innovation, that would also shape the way SatSure engages with its clients from here on.”
The goal is to enhance clients climate resilience through the provision of increasingly accurate parametric insurance and risk transfer solutions, using advanced technology and analytics to make triggers, coverage and pricing as accurate and responsive to their needs as possible.