5 Tech Tools that Can Help During Hurricane Season

Today's technology can go a long way in helping to manage the hurricane season.

By: Tom Starner | July 10, 2019

Death and taxes may be life’s only two actual inevitabilities if you go by the old adage, but for risk managers and insurance claim professionals, hurricane season represents another sure thing.

It isn’t “if,” it’s “when and how many?”

For 2019, the National Oceanic and Atmospheric Administration (NOAA) predicts a 40% chance of a “near-normal” storm scenario.

Spanning June 1 to November 30, the official hurricane season, according to NOAA, will offer a range of 9 to 15 named storms, of which 4 to 8 could become hurricanes (winds of 74 mph or higher), and 2 to 4 major hurricanes (category 3, 4 or 5, with winds of 111 mph or higher).

The irony here is the certainty of hurricanes is laced with uncertainty, as even NOAA, with its potent technology and federal government resources, can offer only a 70% confidence rate.

Technology today can go a long way in helping to manage the storm season, according to Jamie Yoder, president of Chicago-based Snapsheet, a virtual insurance claim service. With a solid tech tool kit and strategy, Yoder explained, risk management and claims professionals can better get ahead of expected storm-driven losses.

Yoder gives five technology-based strategies that can help in dealing with hurricanes and their aftermath:

1) Texting

A simple, yet highly effective communications tool, basic texting, Yoder said, offers a tremendous problem-solver for managing pre-storm safety strategies and post-event claims scenarios.

Jamie Yoder, president, Snapsheet

“As one of the most valuable technologies, texting delivers strong communications potential with a much smaller, inexpensive tech footprint than anything comparable,” he said.

Texting gives users the ability to provide meaningful information to affected parties very quickly. For example, texting can inform people where to find safe shelter when a serious storm approaches, or it can help claims pros and risk managers stay in touch with insureds who suffering from storm-related losses.

“It can be invaluable,” Yoder said.

2) Open data

Yoder said that while open data isn’t a technology per se, its availability is becoming increasingly powerful in dealing with pre-storm preparedness and post-storm damage.

“Claims firms continue to get better about gathering all types of information, and open data can be crowdsourced and applied in a contextual, meaningful and useful form,” he said.

Yoder added that 2017’s Hurricane Harvey drove advances with open data, and the idea kept making inroads during 2018 hurricane season as well.

“Open data is getting much more sophisticated, more operational heading into 2019,” he said, citing the Department of Homeland Security’s technology unit as one body that is using open data to offer layers of information with “actionable platforms” (including simulations).

For example, shared open data can be utilized to predict storm surge estimates several days in advance of an event.

3) Simulation/visualization

Analytics driven by more open, available data can give risk managers and claims professionals the ability to visualize and store claim estimates, while understanding implications for future storms.

Yoder said storm-related data can be overlaid much like law enforcement does with crime data. In this case, it would be data such as lightning strikes, for instance, which can serve as a yardstick for a given hurricane system.

“That can allow you to actually see what it means for an effective response, what things may be in harm’s way, whether there is coverage and so on,” he said, adding that data provided by today’s sophisticated satellites and drones also are emerging as a potent weapon in predicting and managing hurricane damage outcomes. And that can lead to more effective preventive measures.

4) Imaging

With smart phones now pretty much ubiquitous, risk managers and claims pros are equipped with highly sophisticated, very compact photo and video tools right in their pockets.

Yoder said the “feet on the street” pros – and by extension, claimants – can benefit from smartphone technology by, for example, using photo- and video-based adjusting to ensure that insureds’ lives (or businesses) are restored in as little time as possible.

“Smartphones today offer a great way to handle the huge workloads that follow major storms,” Yoder said. “In the field, even tablets are no longer necessary, much less laptops.”

5) Digital payment

Estimating and paying claims quickly and fairly gets much deserved attention in the industry, but Yoder said that, particularly with personal lines claims, digital payments are an emerging technology that offers a positive outcome to a post-hurricane loss situation.

“This is about getting people back on their feet as fast as possible and digital payments can do that,” Yoder said. He added that even by using the typical, but not instantaneous, electronic automated clearing house system (rather than services such as Venmo, Paypal, etc.), claims can be resolved much more quickly.

“Right now, it’s still a challenge for our industry, but it shouldn’t be,” Yoder said. “I expect to see more and more claims paid digitally during 2019 and beyond.” &

Tom Starner is a freelance business writer and editor. He can be reached at [email protected].

The Qualities to Look for when Selecting a Financial Lines Carrier

Operating a business comes with its share of challenges, but having an insurance partner that strives to understand and align with your operations can make all the difference.

By: MSIG USA | October 31, 2024

Running a commercial business is no small feat. Leaders are often tasked with making difficult decisions — sometimes with limited data — and communicating these decisions with confidence while acknowledging their inherent uncertainty.

“Expectations are incredibly high in today’s current climate,” said David Guild, head of financial lines, MSIG USA. “Companies and their leaders must be thoughtful and controlled in their communications, conveying both competence and a clear vision on an ever-evolving world stage.

Nevertheless good leaders (whether they are in the C-suite or on the board of directors) consistently persevere and face the challenges of our evolving world, equipping themselves with the necessary tools and techniques to keep operations running.

For financial companies and commercial businesses looking to keep pace with today’s risks and better understand their own exposures, finding the right insurer need not feel like an added weight.

Below are several qualities to look for in a partner that has the experience and insights to help mitigate and navigate their insureds’ unique exposures, giving leaders the space to focus on their core operations.

Sustainability in All Markets

David Guild, Head of Financial Lines, MSIG USA

When looking for a financial lines insurance partner, sustainability should be top of mind. Knowing that an insurer can provide solutions in a hard market alongside the soft will not only provide peace of mind but also help build resilience.

“Leaders should have the room to concentrate on their vision for the company and what it can achieve — not be burdened by potential risks that keep them awake at night. “Your insurance partners should be able to understand the trials and tribulations of running a business, to respect that there is no single right answer to most challenges, and be prepared to assist wherever, whenever issues may arise,” Guild said.

Sustainability is proven in an insurer’s ability to come through on the promises it makes. For example, MSIG USA’s approach has earned it an A+ rating, proof that its team can back the promises it makes and see them through to completion. “We are confident in our ability to serve your insurance needs, on a global scale,” Guild added.

“Everything we speak of revolves around the credibility of our platform, which is reflected in our A+ rating, a 350-year legacy within our family of companies, and our experienced team here in the U.S.”

An Emphasis on Company and Culture

Successful partnerships are built on a solid relationship between insurer and client.

At MSIG USA, “we aim to be a stable and sustainable presence for our clients,” Guild said. “The value of long-term relationships is at the core of what MSIG USA is all about. Our underwriters deeply appreciate the importance of these connections.

“We believe that building and maintaining strong, long-lasting relationships with our customers is essential to navigating the inevitable fluctuations of the insurance market. We are confident in our abilities, and in yours.” he added.

Company culture, as Guild mentioned, is more than an internal commitment; it’s something that can also drive business relationships.

For insurance partners, analyzing and aligning with their clients’ culture helps to solidify partnerships, as well as open the lines of communication and understanding.

“Variables will change, oftentimes rapidly. From our view, what matters is the culture of that company when responding to change. It’s about trusting their character rather than just the policies and procedures in place,” Guild said.

A Source of Truth and Clear Communication

Effective communication goes a long way in clearly understanding an insured’s business and future potential. This allows for sustainable partners to develop coverage that fits and to work closely with their Claims team to understand the partnership in context.

With the amount of data available today, and the number of ways information can quickly be disseminated through different medium, a good insurance partner knows that companies must be the single source of truth for their stakeholders.

“Quarterly and annual earnings calls provide a platform to discuss financial results and respond to investor questions. Investor presentations offer a more comprehensive overview of the company’s strategy, performance and outlook,” Guild explained.

We will look at what analysts and other third parties think about the information provided to try to glean what the investor base will think and how they will act. But ultimately, it is what the company says, and the way they say it, that we will assist in defending, if need be, and so we make sure to listen and learn from the company leadership.

Bringing These Qualities Under One Roof

Leaders want to know that, at the end of the day, their business is a priority for their partners.

Clear communication, a strong relationship and emphasis on sustainability are just the start. Their insurance partners should strive to understand their business, identify areas of concern and craft coverage customized to meet their needs.

With an impressive 350-year legacy, MSIG USA is doing just that for its clients, utilizing its global presence to further its clients’ goals.

“The key elements of our approach are an intellectual pursuit of information, a well-honed practice of underwriting that identifies material aspects for risk assessment, and clear communication of our insights to our clients: brokers and buyers alike. We aim to provide a transparent and informed perspective on the risks we underwrite,” Guild said.

“We bring sustainable, predictable insurance capital and what we believe is best in class service philosophy, honed by working with some of the most sophisticated brokers and buyers of insurance in the world.”

To learn more, visit: https://www.msigusa.com/financial-lines/.

This article was produced by the R&I Brand Studio, a unit of the advertising department of Risk & Insurance, in collaboration with MSIG USA. The editorial staff of Risk & Insurance had no role in its preparation.

MSIG North America is a member of MS&AD Insurance Group Holdings, Inc. which is the 8th largest non-life insurance group in the world by revenue. Based in Tokyo, Japan, we operate in 48 countries/regions and generated $46B in 2021 with approximately 40,000 employees globally. MSIG North America is the marketing name used to refer to MSIG Holdings (U.S.A.), Inc. (“MSIGH”), and its subsidiary companies.