Willis unveils parametric flood cover for UK racecourses

WTW-owned Willis has launched a new sensor-based parametric flood insurance policy for UK racecourses, targeting venues that have struggled to secure traditional flood cover.

The solution has been developed in partnership with flood forecasting firm Previsico, MGA Descartes Underwriting and insurer Generali.

According to Willis, the policy is designed to respond automatically when flood water reaches a pre-agreed depth at the insured location, with payouts linked to the severity of flooding rather than physical loss adjustment.

Royal Windsor Racecourse, owned by Arena Racing Company (ARC), is the first site to implement the cover. Willis said the venue had previously been considered uninsurable for flood risk due to its location on the River Thames floodplain.

Under the arrangement, flood sensors supplied by Previsico are installed at locations selected by ARC to reflect each racecourse’s exposure profile. Once water levels hit the agreed trigger point, payouts are automatically activated and scale according to the maximum recorded depth.

Kieran Gallagher, group operations director at ARC, said the business had previously been unable to insure against flooding and described the new arrangement as “hugely important” for Royal Windsor Racecourse.

Focus on speed and flexibility

The launch comes amid growing concerns around UK flood exposure, with industry estimates suggesting flood-related costs could rise by as much as 50% to £3.6bn by 2050.

Claire Wilkinson, managing director of alternative risk transfer solutions at Willis, said traditional insurance models often leave high-risk properties facing large deductibles, unaffordable premiums or outright exclusions for flood.

She added: “Parametric solutions offer an alternative approach, tailored to the specific needs of the client. Claims are paid automatically and promptly when a measurable flood depth trigger is met, regardless of actual damage.”