Liberty Mutual Re and Safehub have partnered with the University of California to implement the first sensor-triggered parametric earthquake insurance in the U.S. This innovative policy utilizes 180 Safehub sensors to assess earthquake impacts accurately, enabling faster claims processing and real-time damage information. This initiative aims to enhance earthquake preparedness and response for UC campuses.
In an innovative move to enhance earthquake preparedness and response, Liberty Mutual Reinsurance (LM Re) has collaborated with Safehub and the University of California (UC) to implement the first parametric earthquake insurance coverage in the United States that utilizes sensor-based technology. This initiative is particularly significant given California’s high risk of natural disasters, including earthquakes, wildfires, and the elevated value of assets in the region. The new coverage is built upon the successful implementation of sensor-triggered insurance policies previously deployed in Mexico and the Caribbean. By installing a network of 180 Safehub seismic sensors across various UC campuses, the policy will utilize peak spectral acceleration (PSA) measurements to determine the occurrence of an earthquake and trigger claims efficiently. This methodology offers far more precise assessments of damage than traditional insurance approaches, which often rely on generalized estimations from public agencies. The partnership aims not only to expedite claims processing, allowing UC to access relief funds more swiftly in the aftermath of an earthquake but also to provide real-time damage information from the deployed sensors. This capability is crucial for facilitating timely emergency responses. Jean-Christophe Garaix, Head of Agriculture and Parametrics at LM Re, expressed enthusiasm regarding the collaboration: “We are delighted to partner with Safehub to provide the University of California with sensor-based parametric earthquake coverage, offering unparalleled protection to earthquake damages.” Andy Thompson, CEO of Safehub reinforced the commitment to supporting UC’s campuses throughout the earthquake recovery process. This progressive step represents a significant advancement in how educational institutions can manage and mitigate risks associated with seismic activities.
California is known for its vulnerability to seismic activity, which poses significant risks to properties and institutions within the state. The University of California, as a prominent educational system with multiple campuses, recognizes the importance of innovative solutions to protect its assets. The collaboration between LM Re and Safehub marks a pivotal step towards integrating technology with traditional insurance models to create more responsive and accurate coverage options.
In summary, the establishment of sensor-based parametric earthquake coverage for the University of California signifies a groundbreaking approach to managing earthquake risks. By harnessing the precision of seismic sensors, Liberty Mutual Re, in conjunction with Safehub, is not only providing financial protection but also enhancing the overall safety and preparedness of academic campuses across the state. This collaboration exemplifies how technology can transform the insurance landscape and provide substantial benefits to organizations exposed to high-risk environments.
Original Source: insurance-edge.net
