Parametrix provides rapid claims payments following AWS outage

Parametrix, a provider of digital business interruption solutions, has revealed that it has already paid claims to clients affected by the Amazon Web Services (AWS) outage on 20th October 2025, allowing affected businesses to recover quickly.

On Monday 20th October, the AWS platform experienced an outage originating in its largest cloud region and unfolded across two distinct phases. The first disrupted core services such as EC2, Lambda, and API Gateway, while the second affected autoscaling and new-instance creation. This two-phase structure made the outage especially complex, with impacts varying depending on an organisation’s architecture and reliance on dynamic infrastructure scaling.

Thousands of companies were affected, with impacts ranging from complete business disruption for companies relying on AWS to temporary loss of features on popular websites for internet users.

On 22nd October, Parametrix told Artemis that the outage may have caused billions in lost opportunity and downtime for technology and internet services around the world and could trigger some cyber insurance policies, but it was not significant enough to be considered a Catastrophic Event.

Parametrix provided its insurer partners with a clear, data-driven breakdown of the outage within hours of its conclusion. Affected customers were quickly identified, and their exposure levels estimated. This real-time transparency ensured all stakeholders had full situational awareness and confidence in the measured financial impact of the outage.

Parametrix informed brokers of impacted client policies within 24 hours, allowing them to immediately circulate Declaration of Loss requests to their claimants. Once loss confirmations were returned to Parametrix, claims payment commences for completion within two weeks, ensuring rapid liquidity and business continuity.

“At Parametrix, everything begins with our clients,” said Ori Cohen, COO of Parametrix. “When disruptions happen, they shouldn’t be left waiting for answers or compensation. We work hand-inhand with our insurers and brokers to provide full transparency from the moment an event begins. Our parametric model ensures that clients have the funds they need to recover quickly and confidently.”

On 24th October 2025, CyberCube estimated a preliminary loss range of $38 million to $581 million for the AWS outage. This followed the release of the firm’s Security Incident Report (SIR) for the event, which estimated the potential impact on re/insurance as moderate.