Key Points Covered:

• Growing Coverage Gaps: More consumers and business owners are finding traditional insurance coverage increasingly difficult to obtain, with significant gaps in protection
• The Insurance Crisis: Properties in high-risk areas (coastal regions, hurricane zones) face three major challenges from traditional insurers: raising rates, reducing coverage limits, or completely withdrawing from certain markets
• What is Parametric Insurance: A unique alternative that complements traditional property coverage by filling in the blanks where conventional policies fall short
• How Parametric Coverage Works: Claims are triggered automatically when specific measurable events occur (storm proximity/intensity, hail size) rather than requiring damage assessment
• Real-World Example: A municipality used parametric insurance to "top up" their traditional property policy, providing better coverage following hurricane damage
• Key Advantages of Parametric Policies:
  • Event-triggered coverage based on measurable parameters, not damage assessment
  • Clearly defined payout amounts known in advance
  • Rapid claim settlement (confirmed within days, funds within weeks)
  • No need for insurance adjusters to assess damage
  • Highly flexible and customizable trigger mechanisms
• Parametric Hail Insurance Case Study: Radar-based coverage for solar farms with tiered payouts based on hail size (2 inches = 0%, 2.5 inches = 10%, 3 inches = 75%)
• Covered Industries: Real estate, automotive dealerships, agriculture, solar farms, and other high-risk sectors
• Getting Started: Quote requirements include location data, loss history, and desired coverage limits - all customizable for specific business or property needs
• Action Steps: Review existing policies to identify coverage gaps and explore parametric solutions for risk mitigation