Vortex teams with Speedwell to take parametric supplemental hurricane cover online

Vortex Insurance Agency, a specialist insurtech that offer parametric insurance and weather risk transfer products, backed by MS&AD group’s Mitsui Sumitomo and a subsidiary of MSI GuaranteedWeather, has taken its parametric supplemental hurricane insurance product online.

The product was launched earlier this year, with the supplemental hurricane cover insurance product able to payout for Category 3 plus hurricane events that struck across areas of the United States exposed to significant named storm risk.

Vortex’s supplemental hurricane insurance is designed to cover gaps left in place by traditional insurance policies, triggering if an insured business is located within a 20 or 40-mile circular region, from the hurricane center.

With no need to prove loss or business interruption and the cover available for multiple hurricanes in a single season, this can be a valuable and efficient additional financial protection.

This parametric hurricane insurance policy can now be purchased more easily, made available online so that in a few clicks a policy can be issued and available to customers in minutes.

Vortex has partnered with leading provider of weather, catastrophe and climate data, indices and settlement services Speedwell for the settlement data needed to bring this new product to market.

Working with the firms Speedwell Settlement Services Ltd. unit, Vortex can now use quality controlled third party data for hurricane storm tracks and intensity, which it says means that buyers of the parametric insurance can have confidence in the independence of the data used to determine a claim payout.

“We’re thrilled to be a part of this innovative product launch. Parametric products such as these are powerful whereas they bring simplicity, transparency, and speed (payment of benefits) to the small and midsize business insurance market. Here at Speedwell, we have a long history of acting as an independent third party for the certification of weather and climate observations for parametric products. This project is exciting whereas it combines our data expertise with Vortex Insurance innovation to create a product that will truly revolutionize the market,” explained David Whitehead, CEO of Speedwell Settlement Services.

“We are delighted to make this product available to businesses along the entire Atlantic coast of the US (from Texas to Maine). Hurricane season began June 1st, so we recommend investing in this supplemental coverage as soon as possible,” added Andy Klaus, Vice President of Business Development. “Over the last few years, so many businesses have been negatively impacted by major hurricanes. And this impact is not limited to property damage. Even if a business experiences no physical damage from a storm, there are countless other business interruptions and financial hardships that can occur during and after the storm passes. Our new supplemental hurricane insurance is designed to minimize these financial difficulties by providing a completely independent, transparent, and quick claims process to help close gaps left behind in most traditional property insurance policies. Recoveries are quick and can be used to begin the rebuilding process or for any other purposes.”