Arbol, a global climate risk solutions platform, and leading insurer, Beazley, have announced the launch of specialist parametric weather products to the US market.
With the launch this now means that cutting-edge products are available for a range of perils, including low and excess precipitation, low and excess wind speed, high and low temperature, and lack of solar irradiance.
Moreover, Arbol’s proprietary pricing platform is powered by AI and a dedicated climate data infrastructure to inform underwriting operations.
At the same time, weather data indices are used to develop customised parametric products, using triggers specific to the peril and the insured.
It was also confirmed that Arbol Insurance Services (an Arbol subsidiary) has now been appointed as a Lloyd’s coverholder, with a facility led by Beazley supported by Tokio Marine Kiln and Nephila.
Additionally, Guy Carpenter served as the sole placing broker and was responsible for securing the required capacity for the launch.
According to the announcement, the product is now available in the US on a surplus lines basis.
Hong Guo, EVP and Chief Insurance Officer of Arbol, commented: “This milestone validates our commitment to delivering innovative risk management solutions. It opens new possibilities to serve our clients and the insurance industry as businesses seek to effectively manage emerging climate risks.”
Neil Kempston, Head of Incubation Underwriting at Beazley, added: “Beazley is committed to supporting the development of weather parametric products that ease the challenges the agricultural supply chain and renewable energy markets face as we move to net zero. By building a long-term partnership with Arbol we can deliver for our brokers and their clients.”