FloodFlash launches parametric flood product across America

[NEW YORK, June 24, 2024] FloodFlash, the sensor-enabled parametric flood insurance provider, has today announced its expansion to cover all mainland US locations. The insurance technology company is known for providing flood coverage in excess of the National Flood Insurance Program where the private markets are unable to quote, particularly in real estate, sports and entertainment, manufacturing, energy and healthcare lines.

In January, the insurtech announced its expansion to 10 states in addition to the launch states of Florida, Texas, California, Virginia, and Louisiana. As a result of a binder expansion with Munich Re Specialty – Global Markets, Syndicate reacting to broker demand, quotes can now be obtained anywhere in the mainland US. States such as North Carolina and Georgia, and those across the country, now have the same access to FloodFlash as the other East and Gulf coast states.

This announcement follows hot on the heels of new program launches from the parametric insurer, including programs for Dealer Lot businesses, Golf and Country Club clients, as well as those that are looking towards parametric insurance for a Business Interruption solution.

These additions to the product offering were created to support US brokers and their clients ahead of a hurricane season predicted to far exceed activity in the last few years. Experts at Munich Re expect above average hurricane activity in 2024. They recently reported that leading research institutes anticipate approximately 23 named cyclones in the tropical North Atlantic for the 2024 season, with eleven of these developing into hurricanes, and five becoming severe hurricanes with wind speeds of over 110 mph (177 km/h).

These figures represent an almost doubling of the long-term average between 1950 and 2023 (12.0 named storms, of which 6.4 were hurricanes, with 2.8 severe hurricanes). Predictions like these come after a relatively quiet period; 2024 may experience the same number of hurricanes as 2022 and 2023 combined.

FloodFlash US Commercial Director, Rich Coyle, said: “This significant increase in expected activity is a cause for great concern. The combination of hard market pressures and a relatively benign 2023 hurricane season, has seen many coastal clients retaining record-high levels of storm and surge risk. Carrying forward those retention levels will leave many insureds watching on nervously as we move through hurricane season.

“For the businesses that don’t have the limits they need, the best time to develop physical and financial resilience to hurricanes is right now. We’re proud to have expanded our product out to more American businesses and will do our best to support those that the market has left behind.”

FloodFlash CEO, Adam Rimmer, stated: “My message to risk managers is simple: ‘there is still time’. If your clients don’t have the flood limits they need after Q2 renewals, coverage is still available. Alternative providers like FloodFlash have a strong track record of excellent claims performance that guarantees business survival. Our expert team and IoT sensors are on hand to help.”

Dominick Hoare, Group Chief Underwriting Officer for Munich Re Specialty – Global Markets, said: “The increasing severity and unpredictability of extreme weather events poses challenges across society, one of which is flooding. This can be particularly destructive for small to medium sized businesses. We’re pleased to have played a role in enabling FloodFlash to increase their coverage to clients across the US mainland.”