WeatherBill has announced a first in the weather derivative and weather insurance marketplace with the release of a new platform WeatherBill White Label. The white label solution offers a completely bespoke platform that can power third party branded weather insurance and weather derivative programs. The platform automates weather coverage pricing, transaction processing, and risk management functions, and provides fully automated client, broker, and internal sales applications.
This fantastic step forwards for the market allows insurance companies and derivatives dealers to offer weather cover products, on their own paper, without needing to make the investment in software, actuarial skills or the manpower required to set up such a program on their own.
David Friedberg, Weatherbill’s CEO, says ‘Weather coverage is a product that can be sold into nearly every industry, region, and buyer group. This platform allows partners to concentrate on marketing and selling weather coverage to customers, rather than build out new pricing models or technology systems.’
The white label platform includes the following services essential to anyone thinking of starting up such an operation; Pricing, Transaction and Order Management, Settlement and Claim Management, Risk Management, and Risk Capacity.
The platform is said to be available to commodities dealers in energy, agriculture and the public sector. We wonder whether the system could in the future be offered to corporates with online operations who would like to offer weather coverage to their customer base. Travel companies for example may jump at the chance to be able to have a branded weather insurance offering with products tailored to match their portfolio of travel deals. Perhaps Weatherbill could offer this on an affiliate style model where by they pay the introducer a commission? However, this system pans out, it can only be a good thing for the market as technology, the scope of the internet and weather cover converge to offer simple turnkey solutions to companies aspiring to offer weather cover.
Further details on this new solution are available in a whitepaper here (Adobe PDF).