2017
INNOVATION
2015
EMERGENCE
Increasing availability of data and rapid digitisation allowed insurers to launch the first mass-market parametric
products . Early models were rolled out in the travel sector . China saw the first known flight delay insurance , where travellers would receive up to 300 yuan ( US $ 40 ) when their flight was recorded as delayed .
Swiss Re launched parametric solution Insur8 , which the reinsurer called “ the first-ever typhoon warning insurance product for businesses operating in Hong Kong ”. It went on to win an insurance innovation award . Earlier the same year , AXA launched a Global Parametrics division to insure clients against emerging climate risks .
2018-19
MAINSTREAMING
Big insurance companies began to get on board with parametrics . Marsh launched PathogenRX , protecting businesses against outbreaks of infectious disease ; and Aon unveiled non-damage business interruption insurance for companies with many intangible assets . In 2019 , Swiss Re announced FLOW , parametric business insurance that utilised existing river water level gauges .
2022
FUTURE
Parametric insurance has been accepted as a way of providing instant relief in the event of natural events or interruptions . One example is Parametrix downtime insurance , which gives businesses a quick payment in the following an outage , which reportedly occurs to 90 % of large organisations every year . insurtechdigital . com 15