Miller’s strategy was to increase the self-insured retention for NWS whilst also doubling the NWS limits purchased, which helped mitigate premium increases. We then placed a Parametric Wind product to finance the larger self-insured retention, whilst also providing cover for exposures that cannot be insured under a traditional indemnity based insurance policy. 

The insured also place value in the quick pay out provisions of a parametric policy, which doesn’t require the lengthy loss adjustment.
 

What is Parametric protection?

Parametric insurance solutions use simple, independently verifiable triggers and settlement structures. 

Whilst weather-based parametric covers are the most common, with an estimated 3 in 4 companies frequently impacted financially by adverse weather, this form of insurance has a wide range of applications:

• Natural catastrophes - windstorm, earthquake, wildfire protection, hail and more
• Energy - temperature, solar radiation, wind shortfall, power outage protection and more 
• Construction - temperature protection and more
• Transport – river level, rainfall protection and more
• Food - frost, drought, yield protection, market indices protection and more.