Parametric insurance news

Parametric risk transfer is increasingly seen as a way to carve out segments of an expensive traditional insurance product to make something more inclusive, affordable and importantly responsive available to more people.

Swiss Re Corporate Solutions, the commercial risk focused arm of the global reinsurance firm, has partnered with a provider of compact internet-connected seismographs in Japan, enabling it to use more responsive, in-situ, parametric trigger data sources.

Climate change has to become the greatest priority for the disaster risk financing space, meaning it is time to “shift the disaster risk architecture”, according to CEO of parametric risk pool and insurer the African Risk Capacity (ARC) Lesley Ndlovu.

Neptune Flood, a flood insurance specialist that uses artificial intelligence technology to provide its products, is branching out into parametric insurance with the acquisition of California earthquake specialist Jumpstart Insurance Solutions.

The Howden insurance and reinsurance broking group is doubling-down on the example set by the Danish Red Cross with the first disaster relief catastrophe bond and aims to expand the use of private capital in the sector, unlocking it for social good.

Climate change has returned to the top of a global ranking of perceived risks, according to risk management experts and public opinion, but in some regions of the world the pandemic remains the major concern, according to insurance and reinsurance company AXA in a new report.

A new risk transfer product for urban landslides in the Manizales area of Colombia has been developed by Global Parametrics alongside Latin American catastrophe risk modeler ERN and Ingeniar, a private advisor on risk management to the local government of Manizales.

The United Nations Development Programme (UNDP) has today launched the Insurance and Risk Finance Facility (IRFF), a new initiative that aims to build financial resilience and bridge a $1.4 trillion global health, mortality, and disaster protection gap, with support from the insurance-linked securities (ILS) market expected in future.

Analysis from S&P Global Ratings suggests that reinsurance firms may be underestimating their natural catastrophe exposures by anywhere from 33% to as much as 50%, as they grapple with incorporating climate change into their decision-making process.

The potential impact from climate change on natural catastrophe P&C insurance and reinsurance claims is the biggest fear of investors in the sector polled by equity analysts at Bank of America.