Independent specialist re/insurance broker, Miller has partnered with Specialty Program Group Canada (SPG Canada) and NormanMax Syndicate 3939, to launch a new parametric earthquake solution which aims to address the growing concerns about the accessibility of earthquake insurance in the market.
This binder will enable SPG Canada to directly underwrite coverage, offering commercial property owners a fast, transparent, and efficient way to manage the increasing challenge of high and cost-prohibitive earthquake deductibles.
As traditional earthquake policies in British Columbia face rising deductibles and increasingly complex claims processes, this parametric cover provides a streamlined solution, Miller explains.
Cameron Copeland, President and CEO of SPG Canada, said: “We are pleased to offer commercial businesses, particularly those in British Columbia, a new option to safeguard their financial stability and assets in the event of an earthquake. Historically, insureds have had limited choices to protect and mitigate earthquake exposure.
“Parametric insurance provides a fresh, innovative approach to securing peace of mind. Being the first organization to bring this solution to the Canadian commercial insurance market reflects our commitment to innovation and to delivering best-in-class protection for our clients.”
The new product will deliver agreed payouts when a pre-defined shaking intensity is recorded, eliminating the need for traditional loss adjustment or lengthy negotiations.
The product responds to seismic activity measured by data from independent, third-party sources. Once the trigger threshold is met, payment is made promptly and without dispute, after simple proof of loss, providing clients with near immediate liquidity to help offset their traditional earthquake deductible.
Alice Glenister, Head of Parametric Solutions at Miller, commented: “We are pleased to be providing meaningful solutions for a market in which many are concerned that earthquake insurance is becoming less accessible. With this innovative product, we are helping customers take control, giving them a fast, fair way to receive essential insurance coverage for an event without waiting months for traditional claims to be settled.
“This solution reflects Miller’s enduring commitment to expanding the parametric insurance landscape and supporting communities vulnerable to seismic risk with tailored, reliable solutions.”
Brad Meier, Chairman, President, and Chief Executive Officer at NormanMax, added: “NormanMax is pleased to partner with Miller and SPG Canada to bring this innovative program to the British Columbia market.
“As the first-ever syndicate at Lloyd’s of London dedicated to parametric natural catastrophe solutions, NormanMax Syndicate 3939 shares the goals of Miller and SPG Canada in bringing fully transparent, rapidly settling coverage options to the Canadian Market supported by Lloyd’s security and licensing.”
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