weather risk

Meteo Protect, the specialist parametric and weather index insurance underwriting agency that is a Lloyd’s of London coverholder, has launched an innovative API (application program interface) to its parametric insurance products, allowing anyone to launch a parametric insurance program more simply.

More granular and higher resolution satellite data from earth observations are set to improve weather and catastrophe event insights for the insurance, reinsurance and insurance-linked securities (ILS) industry, according to the CEO of Orbital Micro Systems.

Climate risk data should be linked to the insurance, reinsurance and risk transfer process through the use of technology and risk models, placing it and financial products at the heart of climate adaptation and resilience efforts.

New York state has seen new legislation on climate change adaptation making rapid progress through lawmaking channels and the Climate Leadership and Community Protection Act includes signs that risk transfer is on the agenda.

The growing pressure on corporations to take greater responsibility for the climate related risks and exposures they carry could present an opportunity for insurance and reinsurance market participants to demonstrate innovation in product design, according to Aon’s Greg Lowe.

Public and private market efforts and collaboration to narrow or even close the insurance protection gap need to be accelerated and uptake of risk transfer needs to be extended, according to Chairman of AXA Denis Duverne.

The Bank of England has committed to action in support of an orderly transition to a carbon neutral economy for the United Kingdom, seeking to “mainstream climate risk management” in the financial sector and encourage broad disclosure of climate-related risks.

Risk transfer is often overlooked in discussions relating to climate change and adaptation to it, as instruments including weather risk transfer and catastrophe reinsurance are able to send price signals to help public and private sector entities better understand the economic value at risk.

The use of efficient capital from the insurance-linked securities (ILS) market, along with advanced technology and expanding amounts of data, can help the world in addressing climate risk, comments by Barney Schauble, Managing Principal at Nephila Advisors suggest.

Hawaii based climate and weather modeling, forecasting and risk management firm AbsoluteClimo has forecast an above average number of Atlantic hurricanes and west-Pacific typhoons will form during the 2019 seasons.