Swiss Re Corporate Solutions (SRCS) has rolled out HAIL, a parametric insurance solution for business operating in 11 hail-prone US states.
This solution offers coverage for the companies from financial impact of a significant hail event including physical damage, lost revenue due to business interruption, or significant retentions in traditional property policies.
The new offering combines the customer location data with a pay-out table that outlines policy amounts for reported hail size at said location(s) during an event.
The payment will be instantly offered to the customers when there is hail damage and the hail size calls for a pay-out under the policy.
SRCS signed a strategic agreement with US-based hail data provider CoreLogic, to serve as its data provider.
CoreLogic will provide SRCS with its hail verification model to verify the maximum hail size both at the location and in the surrounding area. The company will use CoreLogic hail size metrics to determine if a parametric policy is prompted.
Swiss Re Corporate SolutionsInnovative Risk Solutions vice-presidentCole Mayer said: “We are excited to bring a parametric HAIL product to market in collaboration with CoreLogic, a proven leader in the hail verification space.
“The speed of pay-out, transparency in claims adjustment, and flexibility in the use of the funds make this a powerful tool to supplement traditional insurance policies or to buy as a standalone product if traditional coverage is less available.”
CoreLogicInsurance & Spatial executive Steve Brewer said: “With our hail models, Swiss Re Corporate Solutions can confidently structure hail risk transfer solutions to better protect policyholders, slash cycle times and significantly reduce claims adjusting expense following hailstorms.”
The policy is currently available in Colorado, Kansas, Minnesota, Montana, Illinois, Indiana, Iowa, Nebraska, Oklahoma, Texas and South Dakota.