Catastrophe loss data aggregator PERILS has announced that it has acquired Catastrophe Indices & Quantification Inc. (CatIQ), the Toronto-based provider of catastrophe loss and exposure information in Canada.
Established in 2014, CatIQ collects data from the majority of the Canadian re/insurance market and provides and independent Industry Exposure & Loss Database for the region.
It is primarily used by re/insurers, insurance-linked securities (ILS) funds, intermediaries, and modellers for market benchmarking, catastrophe risk model validations, and as triggers in industry-loss-based risk transfer products.
Following the acquisition, CatIQ will continue to managed day-to-day by its Founder and Chief Executive Officer (CEO) Joel Baker, while Managing Director Laura Twidle will continue to lead the CatIQ team.
The firm will also maintain its 11-member advisory board which includes senior representatives from six major Canadian re/insurers on a rotation basis, as well as permanent representatives from Aon, Guy Carpenter, IBC, ICLR and Canada’s federal agency Environment and Climate Change Canada.
“We are delighted to be announcing our agreement with CatIQ,” said Luzi Hitz, CEO of PERILS.
“The firm’s excellent market reputation and steadfast commitment to enhancing the industry’s understanding of Cat risk has enabled it to secure the support of the majority of the Canadian general insurance market,” he continued.
“Acquiring CatIQ is in line with our mission to increase data availability and strengthens our ability to provide state-of-the-art Cat intelligence and industry loss triggers, helping boost the efficiency of re/insurers, modelers and others as well as the specialised risk transfer market.”
Baker also commented on the acquisition: “In 2017, we entered into a strategic alliance with PERILS. That close collaboration was central to our ability to launch the FSA (CRESTA) level industry exposure database for Canada in 2018.”
“Today’s announcement means that we can build upon this partnership to deliver CatIQ’s analytical platform and loss indices to the wider risk transfer market and offer additional innovative solutions to the Canadian and global markets,” he added. “This is truly a win-win-win situation for all parties involved – CatIQ, PERILS and most importantly our clients.”
Twidle further stated: “There is an almost seamless fit between PERILS and CatIQ both in terms of the activities that we conduct and the culture that we operate. Our industry mandates are perfectly aligned and by coming together our market proposition becomes even more appealing to the global insurance industry.
“CatIQ will also continue to play its part in promoting advancements in Cat management strategies through events such as the annual CatIQ Connect Conference, which we conduct in partnership with MSA Research Inc.”