Parametric Insurance Makes Businesses of Every Size More Resilient
White Paper Summary
Over the past few years, interest in parametric insurance has grown to an all-time high. Thanks to the transparency of parametric policies, speed of payment, and flexibility in use of funds, more businesses are recognizing their value as a risk management tool.
“The number of inquiries for parametric cover has steadily increased,” said Cole Mayer, VP, Innovative Risk Solutions North America, Swiss Re Corporate Solutions. “The most significant increase, though, has been among small- to medium-size enterprises (SMEs).”
Until now, most companies interested in parametric solutions were large corporations, who have primarily purchased the coverage as a way to fill in the gaps left by traditional coverages when it comes to the big, complex losses stemming from natural catastrophes.
Because a catastrophe could have extensive trickle-down effects for these big businesses, their parametric policies must be customized to fit their appetite and exposure at various locations.
To learn more about Swiss Re Corporate Solutions, please visit their website.