AXA Local weather companions with CoreLogic on parametric hail product
AXA Climate, a Managing General Agent of AXA XL, has chosen CoreLogic to expand its parametric hail protection product. The product leverages CoreLogic’s proprietary data to help companies recover from financial losses such as property damage or business interruption following a hail incident.
Following a successful initial loss of the parametric hail product in 2019, AXA Climate will now make the product available to condominiums, golf courses and greenhouses, among others.
Seven of the eighteen billion dollar catastrophes that hit the US in 2021 included episodes of heavy hail, according to the National Oceanic and Atmospheric Administration. With large hail damage occurring every year, policyholders face a hardening market with higher deductibles and premiums, CoreLogic said.
“AXA Climate is constantly striving to optimize the user experience and reduce any potential base risk in its parametric offerings,” said Antoine Denoik, CEO of AXA Climate. “Working with CoreLogic enables us to do both. Hail is our starting point, but we see the potential to continue working with CoreLogic to support actors who are committed to sustainable change. “
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As part of the collaboration, in the event of a hail event at an insured person, CoreLogic will use its proprietary technology to report the maximum hail size at the insured location and in the vicinity. This report is the reference in determining if a parametric policy has triggered. No loss adjustment is required as payouts are predefined based on the maximum hail size specified in the report.
“CoreLogic helps AXA Climate make better parametric policy decisions through data-driven insights into hail location and hail severity,” said Mick Noland, Managing Director of CoreLogic. “CoreLogic can help AXA Climate deliver shorter cycle times for policyholders while helping these policyholders find, buy and protect the holes and businesses they love.”