Insurity, a leading provider of cloud-based software for insurance carriers, brokers, and MGAs, has released its highly anticipated 2023 Hurricane Guide, offering comprehensive best practices to help insurance organisations shift from a “react and respond” approach to a proactive “prepare and serve” strategy due to the worrisome trend of increasing billion-dollar events impacting concentrated areas of wealth.
The 2022 season witnessed an alarming statistic, with a staggering 75% of all global insured losses recorded in the United States, where Hurricane Ian alone accounted for nearly half of the total global insured losses.
Amid the challenges that hurricanes pose to property and casualty (P&C) insurers, the guide emphasises the need for swift and effective data utilisation.
Even with advanced technology and in-house Geographic Information System (GIS) experts, insurers often find themselves grappling with the daunting task of converting vast data files into actionable insights for their business partners during hurricane events.
To alleviate this burden, Insurity introduces its Geospatial Event Response, powered by SpatialKey. This solution streamlines and automates the processing of complex hazard and event data, providing insurers with timely information within minutes of each update via email.
Chief Analytics Officer at Insurity, Kirstin Marr, stresses the significance of adopting a proactive approach that leverages expert data and advanced analytics as hurricanes unfold. This approach proves vital in managing costs and enhancing customer satisfaction.
The 2023 Hurricane Guide furnishes insurers with checklists to follow before, during, and after a hurricane, ensuring comprehensive preparedness. Additionally, it outlines the steps for conducting a hurricane dry run, enabling insurers to simulate past scenarios and assess their risk portfolios to identify potential losses driven by location characteristics.
A key aspect emphasised in the guide is the need for robust data and analytics to comprehend the scope of potential losses immediately after a hurricane. By anticipating the extent of claims and pinpointing their sources without the necessity of physical assessments, insurers can optimise response efforts efficiently.
Marr further underscores the importance of data quality, advocating solutions that extend beyond public or open-source data and employ sophisticated analytics.
During the devastating hurricanes Ian and Nicole, numerous Insurity customers benefited from access to up-to-date event footprints sourced from their library of data providers, including NOAA, JBA, and KatRisk. These footprints, combined with policy exposed limits, granted insurers the ability to grasp actual exposure and concentrate their response efforts effectively.
