TECHNOLOGY
There ’ s still more to do … Insurers need to look into methods that protect against chronic climate issues – like heat waves and soil degradation reducing crop yields , affecting safe working hours , or making livestock rearing more challenging .
They also need to build more in-depth weather forecasting tools that find patterns in unpredictable data to better predict what events could take place and where . This is not only to help indemnify themselves , but to warn their customers and reduce the damage of these catastrophic events as much as possible .
Insurers must review their investments to ensure that their portfolios are protected from climate risk such as changes in
“ Parametric insurance is the best and most efficient way to cover low-frequency , high-severity events ”
ADAM RIMMER CEO , FLOODFLASH energy prices , the housing market , supply chain disruptions , political uncertainty , and fluctuations in stock prices that are indirectly impacted by climate change .
The insurance sector has the potential to be at the forefront of the world ’ s climate change response , creating products , influencing policy and innovating with new technologies that could help to protect and shape the future of society . Not only will this impact their bottom line , but it could be the way to bridge the gap between insurers and customers . insurtechdigital . com 77