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Coverage insights header image Contrary to the reimbursement method of standard commercial policies, parametric insurance is a form of coverage that offers protection based on a predetermined, measurable characteristic tied to a covered event.

Under such coverage, the amount in which a policyholder is compensated isn’t decided by the exact cost of damages sustained, but rather by the calculated intensity of the covered event itself. For instance, if a hurricane caused damage to a commercial property, a parametric policy might reimburse a set dollar amount linked to the storm’s wind speeds. Parametric insurance can be a particularly beneficial form of coverage to have in the scope of large-scale natural disasters, especially when not all associated losses entail physical damages. Yet, there are some additional aspects of this coverage offering to consider. Review the following guidance to gain a better understanding of parametric insurance.

February 2021's winter storm could be the costliest insurance event in TX history header While no firm number on insured losses has been released for the brutal weather system that has left dozens dead and millions without power or water, it is likely to cause billions in auto, property and homeowners claims, with one reported estimate at $18 billion.

Winter storms typically cause an average of $1.5 billion in property damage, according to the American Property Casualty Insurance Association (APCIA). That’s the average for ordinary years, but the subzero temperatures and precipitation striking much of the United States falls well outside the standard winter weather for some areas.

Organizations trust their senior leaders to make important decisions and act with stakeholders’ (e.g., shareholders, customers and employees) best interests in mind.

However, in today’s climate of increased corporate accountability, protecting your senior leadership team from directors and officers (D&O) liability exposures can be a significant challenge—making D&O coverage a crucial aspect of your organization’s risk management program.    

Coverage insights header image When underwriters evaluate a commercial building, they generally examine four specific characteristics— construction, occupancy, protection and exposure (COPE).

It’s not uncommon for insureds to overlook how the underlying construction of their buildings impacts their insurance. However, when it comes to property coverage, the construction class is critical and can affect rates and the overall insurability of the structure.      

Coverage insights header image Whether they’re transporting materials and tools to worksites, hauling goods for deliveries or driving to meet clients—organizations of all sizes and industries rely on safe, functioning vehicles to serve their customers and generate profit.

But, while utilizing a commercial fleet can offer numerous benefits, it can also create additional risks. As such, commercial auto insurance has become invaluable for any organization that operates vehicles as part of their operations.    

The Occupational Safety and Health Administration (OSHA) oversees a whistleblower protection program that enforces the whistleblower provisions of more than 20 federal statutes.

These provisions protect employees from retaliation for reporting violations of various laws and for engaging in other related protected activities.