K2 Parametric Insurance Services has said it is going into a first-capacity relationship with Homesite Underwriting Managers.
Under the partnership, K2 Parametric will be able to offer commercial Parametric Natural Catastrophe polices for US earthquake and hurricane risks with limits up to $10m per policy.
Scott Carpinteri, president of K2 Parametric, said: “I am impressed with the time the team at Homesite invested in learning how Parametric Insurance is written and why it’s a powerful risk transfer tool for commercial entities exposed to natural catastrophe risk.”
Carpinteri joined K2 in November last year, as we reported then. It was then that K2 Insurance Services launched the firm as an MGA, picking Carpinteri in the role of heading it up.
K2 Parametric works with both retail and wholesale brokers to provide Parametric Insurance solutions to middle-market and larger commercial clients.
Meanwhile, Grace Meek, CEO and presidenet of Homesite Underwriting Managers, said the firm was excited to add K2 Parametric to its partners.
She added: “Their expertise in this unique coverage fills a void in this market space and adds yet another sustainable and profitable partnership to our portfolio.”
K2 Parametric provides policies that pay out based on the location and intensity of a natural catastrophe event. Coverage can be customized to an insured’s specific geographic needs. Upon triggering, the policy responds quickly, in as little as 30 days, and the proceeds can be used for any economic costs not covered by other insurance or recoveries. Unlike a traditional natural catastrophe property insurance policy, a Parametric Insurance policy does not require the insured to have physical damage.
