Parametric triggered insurance policies now available in Japan

Share

Shinsai Partners, a Japanese insurer has started offering a parametric based quake cover for homeowners. Rather than the usual claims estimation process this policy pays out a small amount (Y50,000) to all holders living in an area of Japan which is subject to an earthquake that registers 6 or above on the Japanese earthquake intensity scale. Any policy holder who’s home is destroyed receives a much larger payment.

It’s a great idea to link insurance for homeowners to intensity of disaster in this way. It’s usually cat bonds which are linked to a parametric trigger or index of losses, perhaps now the measurement technology is more advanced/widespread we will see further use of weather data as a loss trigger for homeowner policies.

Press release available here in Japanese. I recommend Babelfish for translation.

———————————————————————
Artemis London 2022 - Insurance-linked securities conference in LondonRegister to attend Artemis London 2022, our first ILS conference in London. Sept 6th, 2022.

Tickets are now on sale.

Secure your place at the event here!
—————————————

Print Friendly, PDF & Email

Artemis Newsletters and Email Alerts

Receive a regular weekly email newsletter update containing all the top news stories, deals and event information

  • This field is for validation purposes and should be left unchanged.

Receive alert notifications by email for every article from Artemis as it gets published.