Parametric specialists smash all previous records for catastrophe claim payments
London, UK (Jan. 25, 2021) – FloodFlash, an InsurTech offering rapid-payout insurance at-risk businesses, has set new catastrophe claims records in the wake of storm damage in the UK. The fastest claim took just 9 hours and 44 minutes from the property flooding to the client receiving the full settlement in their account.
Storm Christoph is the third named storm of the year, bringing widespread rain, snow and flooding across the UK. Over 350 live flood alerts were issued during the peak of the storm, whilst PwC estimate that losses will range between £80m – £120m (CAD: $ 140M – 210M).
FloodFlash uses parametric cover to provide payouts. When taking out cover, the client selects a depth of flooding and a payout. FloodFlash install an internet-connected sensor that measures flood depths at the insured property and wirelessly sends it to FloodFlash HQ. When flood depths reach the pre-agreed amount, FloodFlash organise the payment.
FloodFlash IoT sensors began to detect flozds on Wednesday 20th, triggering claims across the country. FloodFlash quickly validated the claims using the data provided by the sensors, paying them soon after. This resulted in clients receiving the money on the same day that their property flooded – a world first in catastrophe insurance.
The benefits of this new approach aren’t limited to fast claims. There is no loss adjustment with parametric insurance. FloodFlash claims happen remotely, removing the risk of COVID transmission from the site visits that are required for traditional flood claims.
The previous record for fastest property flood claim was 26 hours and 15 minutes – set by FloodFlash during Storm Ciara in February 2020.
FloodFlash Co-founder Adam Rimmer added: “During a time of great financial stress for businesses everywhere thanks to COVID, getting cash to clients quickly has never been more important. FloodFlash is setting the standard for fast, transparent claim payments. We reduce the time it takes to pay a catastrophe claim from months down to hours. In doing so we reduce client uncertainty, claim values and insurer costs. This is the future of insurance”.
FloodFlash is a new type of rapid-payout flood insurance. They use the latest in data modelling and connected technology to provide fast, easy and flexible cover. FloodFlash is a registered coverholder at Lloyd’s of London and is authorised and regulated by the Financial Conduct Authority. Understand FloodFlash in 80 seconds. For more information, please visit floodflash.co.
SOURCE: FloodFlash Ltd.Tags: FloodFlash, industry first, insured damage, InsurTech, Natural Catastrophes, natural disaster losses, parametric insurance