Boston-based Karen Clark & Company has launched a U.S. storm surge model and is targeting the Florida market as the state continues its push into catastrophe risk privatisation.
The new model will run on the company’s RiskInsight modelling platform, according to a company statement issued Tuesday, and will allow insurers to determine of total insured value by exposed water depth and vulnerability curves. In addition to estimating losses from U.S. storm surge, the model produces the 100 and 250 year flood zones along the coast and will allow clients to assess portfolio losses with and without storm surge and leakage assumption.
Average annual losses can be accessed for individual properties via web services hosted by the modeler or client companies, according to a company statement.
“We’ve spent years developing the storm surge capabilities in RiskInsight, but what’s more important to our clients is that we’ve spent the past several months reviewing and validating every storm surge footprint in the model,” said Glen Daraskevich, Senior Vice President, in a published statement. “This exhaustive validation process means our clients can be sure they won’t get anomalous numbers when they start using the model output. “
The company added that is storm surge model and RiskInsight platform will be presented to the Florida Commission on Hurricane Loss Projection Methodology later this month.
“The Commission is investigating flood model standards over the upcoming months, and I’m very pleased to again be engaging with Commission members to discuss the new, open loss modeling platforms,” said Karen Clark said in a statement.
Following the passage of the Biggert-Waters Act. in 2012 several states, incuding Florida, have been encouraging private market solutions to flood risks no longer covered by the National Flood Insurance Program.