JERSEY CITY, N.J., May 2, 2005 – ISO now provides access to real-time catastrophe loss estimates and critical event information via its ISOnetSM secure Internet platform, enabling insurers to make better strategic risk-management decisions as actual events unfold.
The catastrophe information is provided by ISO’s AIR Worldwide Corporation subsidiary through its ALERTTM (AIR Loss Estimates in Real Time) website.
“ALERT is an indispensable tool for us when a hurricane is approaching,” said Michael Cratem, vice president at Sunshine State Insurance Co., based in Ponte Vedra Beach, Fla. “It keeps us well informed at a critical time for our company, allowing us to set expectations for our investors and management.
“Specifically, ALERT helps us determine if our reinsurance is adequate and manage our reserves. Furthermore, ALERT’s highly localized information allows us to understand where to suspend or continue writing business and how to deploy claims resources most effectively,” Cratem said.
ALERT provides critical decision-making information to insurers as an event is unfolding to assist in:
assessment of loss potential
financial management and reinsurance adequacy analysis, such as assessing the need for live cat covers
deployment of claims adjusters and resources to disaster sites
identifying territories to stop or continue writing business as hurricanes approach land.
Information about U.S. hurricanes is available on ALERT up to 48 hours in advance of the projected landfall. AIR meteorologists simulate hundreds of potential scenarios using a range of possible storm tracks, wind speeds and other intensity variables. A representative subset of scenarios, together with estimates of their corresponding industry losses, is posted on the ALERT website.
Insurers who license AIR’s catastrophe risk-management system can further benefit from using the scenarios to estimate losses to their property portfolios.
ISO customers can access scenario maps of wind speeds and losses from the website over ISOnet. ALERT also provides a narrative description of event parameters, location and projected course of the hurricane.
“Access to timely information about potential catastrophe losses and loss estimates is extremely valuable to our customers,” said Bob Baumohl, ISO assistant vice president of Customer Service. “Now customers can get this information in real time over ISOnet and make informed decisions about their exposures and ways to handle them in catastrophe-prone regions countrywide,” he added.
ISO’s AIR subsidiary has been issuing real-time loss estimates for every U.S. hurricane since Hurricane Hugo in 1989. Since then, the service has been expanded to include current information and loss estimates from natural catastrophes in the U.S. and the Caribbean, tropical cyclones in the Asia Pacific region, extratropical cyclones in Europe and earthquakes in more than 25 countries.
For more information about ALERT on ISOnet, call ISO Customer Service toll-free at 1-800-888-4476, or send an e-mail to [email protected]
ISO is a leading provider of products and services that help measure, manage and reduce risk. ISO provides data, analytics and decision-support solutions to professionals in many fields, including insurance, finance, real estate, health services, government and human resources. Professionals use ISO’s databases and services to classify and evaluate a variety of risks and detect potential fraud. In the U.S. and around the world, ISO’s services help customers protect people, property and financial assets.