Parametric insurance news

Two recent earthquake events in Asia have triggered payouts under parametric insurance policies, further demonstrating the valuable protection a well-structured parametric trigger can provide.

The Demex Group, a climate risk focused insurtech that aims to deliver climate-resilience through financial risk solutions on a global scale, has launched a new initiative through which it aims to democratise access to climate data that is useful for risk transfer, insurance or reinsurance transactions.

The Mesoamerican Reef system which lies in the Caribbean Sea, touching the coasts of Mexico, Belize, Guatemala and Honduras, is set to benefit from an innovative parametric insurance program to protect the reef and communities that rely on it against hurricane impacts.

As part of the latest Artemis Live webcast, industry experts argued that utilizing technology will be critical in enabling the reinsurance and alternative capital markets, or ILS sector, to help hedge pandemic risk using parametric solutions.

Africa Specialty Risks, a pan-African focused reinsurance group, has announced the launch of a new parametric underwriting division with two key hires joining the company from recent roles at QOMPLX:UNDERWRITING.

Global reinsurance firm Hannover Re and broker Willis Towers Watson are representing the Insurance Development Forum (IDF) in a project to develop natural catastrophe and climate related risk transfer solutions for the City of Medellín, Colombia.

As insurers and reinsurers continue to advance their data analytics capabilities, parametric structures will increasingly be leveraged for more traditional classes of business, according to James Harrison, UKI Head of Insurance at global data and analytics firm, Dun & Bradstreet (D&B).

Vesttoo and Artemis have partnered to host a live webcast on May 25th 2021 where we will discuss and explain opportunities to hedge the next pandemic, using parametric risk transfer, facilitated through the use of data and technology, as well as capacity from the capital markets.

The African Risk Capacity (ARC), a provider of parametric disaster insurance products to countries and now other entities in Africa, is targeting adding Somalia to its risk pool, signing an MoU with the Government to help it work through the onboarding process.

Interest in parametric risk transfer and insurance is on the rise as the immediacy and availability of data improves and new types of market participants enter the fray, suggesting growth is on the horizon, according to industry experts.