Lloyd's syndicates hope to be sitting pretty during this year's stormy season after the 300-year-old corporation announced a deal to take hurricane monitoring technology, RiskOnline.com
The internet-based system from Risk Management Solutions (RMS) will initially be available free of charge to all Lloyd's syndicates between 1 - 31 July inclusive.
Lloyd's says subsequent access to the system – the hurricane season runs from 1 July to 31 October – will be available to the syndicates at a “substantial discount.”
RMS international vice president Matthew Grant said: “While meteorological and related information is now readily available in real-time, understanding your loss potential as storms approach land remains a difficult problem.”
By using the new system, syndicates will be able to keep a hawk-like eye over developing hurricanes, 24 hours a day. RMS claims the system will improve syndicates' hedging and reinsurance capabilities and help them to better manage catastrophe accumulations.
Lloyd's Market Risk Unit managing director Dr. Roger Sellek said: “Lloyd's fully supports the use of analytical tools that facilitate the use of underwriting information by syndicates for risk management purposes.
“We welcome the RiskOnline product, which will further assist syndicates in assessing and managing their property-catastrophe exposures.”
RMS is offering the service to everyone in the global insurance marketplace. The technology company claims more than 200 insurers and reinsurers around the world have expressed interest in subscribing to the service.