Ahead of the 2024 Atlantic hurricane season, FloodFlash, the first insurance technology company to offer sensor-enabled parametric flood insurance, is launching a product to support business interruption (BI) coverage in the United States.
“Flooding causes billions of dollars in losses across the US every year yet only 20% of those losses are covered by insurance – and a massive part of that uninsured loss comes from business interruption. The BI options on the market are too few and offered too rarely. ”
With a widely predicted hyperactive hurricane season, many experts anticipate huge losses from property damage and BI that could devastate businesses and communities for months on end.
Flood BI has been created because many businesses and public entities are unable to get BI cover. It isn’t included under National Flood Insurance Program (NFIP) policies and private carriers rarely offer standalone BI.
FloodFlash hopes to support the many organisations at risk of flooding, not just in the Gulf and Eastern seaboard, but across the US.
FloodFlash US Commercial Director Rich Coyle said: “Flooding causes billions of dollars in losses across the US every year yet only 20% of those losses are covered by insurance – and a massive part of that uninsured loss comes from business interruption. The BI options on the market are too few and offered too rarely.
“We couldn’t be more excited to launch Flood BI. It takes the same principles of the FloodFlash product and applies them for a truly under-served section of the market. To the thousands of businesses at risk of flooding that rely on their premises to provide goods, hospitality, healthcare and more, we can now say Flood BI is here to help.”
Key product features:
– no limitations on how clients spend their parametric claim payment, Flood BI can cover any and all aspects of BI including non-damage BI and denial of access.
– The rapid-payment claims in keeping with the core FloodFlash offering mean that claimants receive the full value of their policy within weeks of flooding.
– FloodFlash provides expert support throughout the process, helping on everything from BI limit calculation to sensor placement and policy triggers.
– Limits: up to $5m per location ($2m in Florida). Up to $10m available subject to underwriter approval.
– Blanket limit of $10m available for multi-location submissions
– Sectors include: hotels and hospitality, sport and leisure, retail, healthcare and assisted living, real estate, manufacturing, municipality, education.
– Policy trigger: pre-agreed depth measured by FloodFlash sensor(s).
About FloodFlash
FloodFlash is a multi-award-winning insurance technology company at the forefront of the parametric insurance movement. Launched in 2019, their rapid-payout flood product provides coverage to businesses and public bodies that struggle to secure flood terms anywhere else. They use the latest in data modelling and IoT technology to provide fast and flexible cover that pays claims in record times. FloodFlash is a registered coverholder at Lloyd’s of London and is authorised and regulated by the Financial Conduct Authority.