FloodFlash scales sensor-based parametric flood cover to larger corporates

Insurtech start-up FloodFlash, which offers an innovative sensor-based approach to support parametric flood insurance triggers, is scaling up its offering with the help of major reinsurance carriers to provide protection to larger corporations.

FloodFlash’s technology has helped to launch the first property level parametric flood insurance product, utilising water level sensors developed by FloodFlash, which are installed in homes and businesses to provide a measurement source for data that can be used in a parametric insurance trigger.

The focus has been on smaller covers to-date, with SME’s, small businesses and larger homes targeted.

But now FloodFlash has launched FloodFlash+, taking its technology to much larger corporate clients to help them secure responsive flood insurance protection with rapid payouts possible.

FloodFlash set the bar for fast claims settlement, using parametric triggers and technology, when it made payouts just one day after windstorm struck Ciara earlier this year.

For large corporate insurance buyers, the prospect of receiving an insurance payout so quickly after a flood event impacted their businesses or assets will be well-received.

To-date FloodFlash has supported over £20 million in parametric flood insurance cover since their full launch last year, largely focused on micro enterprises and SMEs.

The companies new offering FloodFlash+ includes a more detailed consultancy arm and the ability to support risks and portfolios where the flood premium is between £20k and £1 million annually.

FloodFlash+ is only possible with the appetite of insurance and reinsurance capacity providers to support it, which appears in abundance and the company said it has signed up a panel of the largest insurers and reinsurers in the world to support the product launch.

The new product offering allows for greater customisation and much larger risks, or areas, to be covered.

Corporate clients can select multiple sensors for a single site, cover multiple properties in a portfolio under a single policy, or include third-party data from river gauges to provide further validation of their parametric insurance cover.

FloodFlash co-founder Ian Bartholomew commented on the news, “Since launching last year brokers and clients have often requested larger limits and more complex quote options. FloodFlash+ is the result of us listening to those requests. It reflects the hard work from our team and underwriting partners to expand the product to another underserved sector.”

“Floods in February and the summer provided a stark reminder of how important access to commercial flood cover is. For British businesses that don’t have access to Flood Re the threat of double-losses after COVID-19 business interruption is only too real. By broadening our services, we will protect more businesses that can’t get flood cover anywhere else.”

Also read: Parametric FloodFlash pays out a day after storm Ciara. Another glimpse of the future?