Property Claim Services (PCS), a division of Verisk that collects and aggregates the insurance industry loss data widely used by reinsurers, is for the first time to reveal market share capture rates for U.S catastrophe’s with insured losses of at least $1 billion.
This decision to increase the transparency of estimates follows significant market interest, and has been described by the company’s co-Head Tom Johansmeyer as the only antidote to misinformation, flawed assumptions, and dated perceptions.
“As PCS grows and becomes further entrenched in the global risk-transfer market, we understand the importance of becoming more transparent,” explained Johansmeyer.
PCS says it will show market share capture rates broken down by class of business (auto, personal, and commercial) for each event.
Additionally, market share capture rates will be updated for each successive resurvey bulletin
This, PCS says, will allow users to understand not only the size of the underlying data contributor base but also the data contribution develops throughout the life of a large U.S cat event.
“Our publication of market share capture rates for large events demonstrates our commitment to the participants in the global risk and capital supply chain— and our sincere interest in doing everything we can to help them manage their risk and capital more effectively,” added Johansmeyer.
“We’re proud to set a new standard for transparency in loss reporting in the global insurance and reinsurance industry.”
This process will begin for all qualifying catastrophe events currently open for resurvey, with market share capture rates being published on the date of the next scheduled update for each event.
Currently, PCS has eight U.S events open for resurvey, which will have market share capture rates disclosed upon the publication of their next bulletins.
According to Tom Johansmeyer, cohead of PCS, “As PCS grows and becomes further entrenched in the global risk-transfer market, we understand the importance of becoming more transparent. In fact, transparency is the only antidote to misinformation, flawed assumptions, and dated perceptions
Ted Gregory, PCS director of operations, added, “The needs of our subscribers and customers are constantly evolving. With PCS being the leader in loss aggregation in the U.S. for more than 70 years, it’s our duty to continue to evolve and develop products that are of use to our subscribers and customers as well. We’re pleased to be able to provide this to our community of customers around the world.”
PCS says this U.S enhancement will be available to users worldwide and will appear automatically for relevant events.