This issue is full of pertinent thought-provoking topics, none more so than the Mining article on page 8 which in amongst the discussion between the underwriter, broker and loss adjuster, references ‘Parametric Insurance’.
Much has been written on this topic in the personal lines space, but now we are seeing parametric products that interact with specialty risks. What is interesting to read is that the relationship between the two can be more complementary, than competitive, than one might at first think. At least until the parametric insurance policy limits move beyond the levels they are at today, when the dynamic between the two will likely shift.
The article on Contingent Business Interruption (page 10) is certainly a timely one as we (and we expect many of you) experience a rise in the number of contingent business interruption claims we’re handling. In this complex world in which companies and countries trade, we are seeing business’s supply chain vulnerability increasingly exposed to events outside their control…