Insurers tap technology to cut losses from secondary weather risks
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Insurers and others in the sector are using technology to improve risk mitigation and loss control in the face of mounting claims from so-called secondary perils, such as severe convective storms and wildfires.
“There is more data available today than ever before to inform risk selection,” said Josh Darr, managing director, head of North America peril advisory, for Guy Carpenter LLC. “High-resolution satellite data can now be used to assess elements such as roof condition and proximity of vegetation and signal the need for onsite inspections.”
Risk Management Solutions Inc. collaborates with observation networks, comprised of instrument and data scientists, who can deploy portable, storm-proofed equipment such as anemometers to measure wind speed, said Christopher Allen, London-based senior product manager with the catastrophe modeler.
The observation teams are able to produce “really high-fidelity measurements,” and data that can be used for modelling purposes, he said.
Axa XL, a unit of Axa SA, has developed its “remote risk dialogue” to track changes at insured sites and conduct project reviews, said Scott Ewing, regional property risk engineering leader in New York for the insurer. The program uses virtual meetings with clients for risk engineering and mitigation discussions.
The Insurance Institute for Business & Home Safety has online tools that small businesses can use to prepare for potential loss events, said Chris Cioffi, commercial lines engineer at the group. Its “Wildfire Ready” tool can help small businesses with mitigation, as can other modules for severe convective storm and thunderstorm, he said.
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