Since we announced our US launch, people can’t stop talking about it, from local to national news. In this article, we recap why the US is the natural location for our parametric insurance and find out who’s excited for FloodFlash arriving in the USA!
Flooding is the number one peril in the US. In fact, 99% of US counties are impacted by flooding. The size of the flood problem is almost matched by the underinsurance problem. The majority of flood victims are uninsured, with uninsured losses from the average storm year twice that of insured losses.
You don’t have to think back far to remember the impact flooding has caused in the US. Last Autumn, Hurricane Ian was the costliest disaster globally in 2022. It caused devastation in Florida and several other gulf states. According to MunichRe, the hurricane was responsible for more than one third of overall economic losses and roughly half of insured losses worldwide in 2022. Climate scientists predict that events like Hurricane Ian are becoming more common due to man-made climate change. (For more about how climate change will impact flooding, check out the latest article in our climate change series here.)
The 2022 hurricane season destroyed many businesses and played havoc with local economies and the livelihoods they support. Many of the businesses who flooded waited weeks, if not months, to receive their claims. Unfortunately, slow claims are a feature of many traditional policies, and are a key contributor to why 40% of small businesses never reopen after a flooding disaster. Worse still, traditional insurers are often hesitant to offer insurance after an event like Hurricane Ian, leaving many businesses without the financial protection they need.
40% of small businesses never reopen their doors following a flooding disaster, and 90% fail within 2 years.Flood Defenders, 2022
Our aim is to make flood insurance available to businesses that can’t get coverage anywhere else. In order to do this, we’re using our experience in the UK, our IoT sensor technology, computer models, and cloud software. These all contribute to the flexible policies, simple policy wordings, and rapid payout claims that set us apart.
Our US launch quickly gained traction in the media. PropertyCasualty360, Insurance Business America, Reinsurance News, Intelligent Insurer, and Efficiens, all picked up the news. Carrier Management featured the launch in one of their InsurTech Spotlights and several FinTech outlets covered the launch, including IBS Intelligence, Fintech Global, Fintech Finance News, and Investors Observer. We also featured in Scientific American, who praised FloodFlash as a ‘new tool to shield their facilities against climate-fuelled floods’.
Adam Rimmer, co-founder and CEO, said: “I believe that parametric insurance is the best way to help people recover from catastrophic flooding. To do that FloodFlash needs to operate in the biggest flood market in the world.”
Mark Hara, CEO of North America added: “I’m excited to bring this simple, tech-enabled flood insurance to the businesses that need it most. FloodFlash can provide excess coverage, fill deductibles or cover what other policies do not – providing a coverage option for those with nowhere else to go.”
FloodFlash are currently available in five states – Florida, Virginia, Texas, Louisiana and California. Want to stay up to date with the FloodFlash US team? Make sure to follow us on LinkedIn to stay up to date.
Interested in partnering or carrying the product? Email us at email@example.com, or call 404-528-0739, or check out our US site here.
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