12-09-2023, 04:23 AM
Here is a fascinating WSJ article, preserved in archive.today. It's about "a new breed of insurer". Could this be our light at the end of the tunnel?
https://archive.ph/0JN1Z
Here is a snippet:
Climate Change Is Breaking Insurance. Here’s How Tech Could Save It.
A new breed of insurer is finding opportunity as larger companies exit some markets
![[Image: 34f4a5d78980f7434b2c6a3ba37d9c10a0a0125b.jpg]](https://archive.ph/0JN1Z/34f4a5d78980f7434b2c6a3ba37d9c10a0a0125b.jpg)
By
Christopher Mims
Dec. 8, 2023 9:00 pm ET
If floodwaters outside a warehouse in Freeport, Texas, owned by private investment firm Postlane Partners rise to 8 inches, an internet-connected sensor will trigger an automatic $3 million payment from an insurance company, a startup called FloodFlash. If the waters rise to 16 inches, the payment will also rise—to $5 million.
This type of policy, called parametric insurance, works like a bet. It has a defined payout, which limits the liability of the insurer. And it comes from a new breed of insurance company, stepping in to shoulder risks that traditional insurers can’t—or won’t—take on, because climate change has made more typical kinds of coverage unprofitable.
https://archive.ph/0JN1Z
Here is a snippet:
Climate Change Is Breaking Insurance. Here’s How Tech Could Save It.
A new breed of insurer is finding opportunity as larger companies exit some markets
By
Christopher Mims
Dec. 8, 2023 9:00 pm ET
If floodwaters outside a warehouse in Freeport, Texas, owned by private investment firm Postlane Partners rise to 8 inches, an internet-connected sensor will trigger an automatic $3 million payment from an insurance company, a startup called FloodFlash. If the waters rise to 16 inches, the payment will also rise—to $5 million.
This type of policy, called parametric insurance, works like a bet. It has a defined payout, which limits the liability of the insurer. And it comes from a new breed of insurance company, stepping in to shoulder risks that traditional insurers can’t—or won’t—take on, because climate change has made more typical kinds of coverage unprofitable.