So many industries suffer losses due to inclement weather. Nowadays many of those losses can be avoided through intelligent weather risk management or use of alternative risk transfer. This press release (below) is yet another great example of how innovative weather risk techniques are helping businesses weather proof their profits.
Amsterdam, 23 September 2010: Allianz Risk Transfer N.V. , Galileo Weather Risk Management, and Nephila Capital Ltd have partnered to provide Frost Delay or Vorstverlet coverage to the construction industry in the Netherlands to complement their weather covers worldwide.
A harsh winter can have a big impact on the profit and liquidity of a construction company. On an ongoing basis, costs — such as salaries, deployment of equipment and overheads — continue while work may come to a halt as a result of bad weather.
Allianz offer construction companies the ability to cover this risk at various levels of severity, which have been structured and priced in partnership with Galileo and Nephila. Covers are available based on the criteria set out in collective labour agreements, including wind chill, temperature and other indexes — such as ground freeze for companies that are engaged in ground work.
“This is a great example of how ART works to partner with specialist service providers such as Galileo to develop innovative new products and to expand the options available to our clients to mitigate weather risk in any given market” said John Arpel, Managing Director of Allianz Risk Transfer N.V.