Liberty Mutual, a US insurance provider, and Floodbase, a platform specialising in flood risk solutions, have launched an instant quoting application for parametric flood reinsurance in the United States.
The tool enables wholesale and retail brokers to price parametric flood cover within minutes, simplifying a process that has traditionally been complex and time-consuming.
By integrating Liberty Mutual’s pricing engine with the Floodbase Platform’s API, the solution delivers the speed, consistency, and efficiency required to serve the small- to mid-sized commercial insurance market.
Parametric flood products have matured, now supporting large-area policies that transfer economic loss risk on a global scale, including coverage for US municipalities, Colombian farmers, and nationwide property portfolios in Italy.
With flood events in the United States becoming more frequent and severe, alongside rising National Flood Insurance Program premiums, parametric flood insurance is increasingly seen as a valuable complement to traditional property coverage, including protection against non-damage business interruption losses.
Despite growing demand, private market capacity continues to lag behind US flood risk, with two-thirds of modelled losses underinsured. Whereas previous limitations were largely linked to basis risk and product standardisation, the main barrier today is scalable distribution.
The new instant quoting application addresses this challenge by allowing brokers and managing general agents to integrate large-area parametric flood products into automated quoting and rating workflows.
With multiple optimised structures and pricing options, the tool makes policies straightforward to quote, simple to position, and easy to transact, enabling parametric flood insurance to be distributed efficiently across small- and mid-sized commercial markets, rather than remaining confined to complex, bespoke arrangements.
Jean-Christophe Garaix, Head of Parametrics & Agriculture at Liberty Mutual, commented: “This collaboration enables us to respond to evolving flood risk with faster, more adaptable solutions. It’s the same coverage—just delivered faster and with far less friction, enabling the brokers to effectively explore and customise a client’s flood coverage in seconds before even emailing an underwriter. That not only improves the client and distribution experience, it enables us to respond to evolving flood risk with novel parametric products for small-and-medium market segments.”
“Parametric flood can be an effective risk management instrument bridging protection gaps in traditional policies for small-and-medium businesses in the US – but that requires rapid distribution at scale,” added Bessie Schwarz, Co-founder and CEO of Floodbase.
“Liberty’s new instant parametric flood quoting solution solves that, giving US brokers and MGAs the flexibility to embed rapid parametric flood cover into their own quoting environments, enabling scalable distribution across small- and mid-market segments.”
