HAIL: Parametric insurance to address hailstorm losses immediately

Hailstorms rarely garner the media attention or continuous coverage that their extreme weather counterpart, hurricanes, do. However, over the course of a year, losses from severe United States thunderstorms accompanied by hail add up to billions – often rivaling or exceeding that of some landfalling hurricanes.  Since 2020, the average annual losses in the United States from hail are approximately $35 billion. The increasing loss burden associated with this peril means traditional carriers are rethinking and retooling their hail terms and conditions, or limiting their offered capacity.  This means corporates, such as car dealerships or solar site developers, or public entities, such as universities, exposed to severe thunderstorms often face gaps in coverage or shortfalls in capacity, and must seek alternative risk transfer solutions to fill their programs. This is where our parametric hail insurance, HAIL, can help.

Available throughout the continental United States, HAIL can provide proceeds in the days after an event to allow you to start addressing the damage and disruption caused by large hailstones. The funds can be used to address physical damage to uninsured assets or property, lost revenue due to closures or operational reductions while repairs are made, or in-fill the retentions in traditional property policies.

To determine if a buyer is eligible for a payout after a hailstorm, we use high-resolution hailstorm footprints provided by CoreLogic®, a US-based hail data analytics leader.

Parametric insurance policies are index-based products where the loss amount is pre-agreed. They pay out when a specific peril meets or exceeds a certain pre-determined intensity (trigger) at a defined location (or several locations), and the insured incurs losses. Learn more about parametric insurance

Easily and transparently, each HAIL policy is tailored to the needs of the specific buyer – the buyer can select the hailstone size that triggers a payout.  Car dealerships will tend to request that moderate hailstones provide at least partial payouts, while solar site developers might look for payouts only when the maximum reported hailstone is defined as large (2'+).  

The flexibility when designing a HAIL insurance policy means our customer are paying for and receiving proceeds only for hailstorms that have a detrimental impact on their assets, finances, and operations.

• Repair physical damage to underinsured or uninsured assets
• Fill in the traditional insurance deductible
• Cover business interruption and other additional expenses following a hail event

HAIL is available in the continental United States (excludes Alaska and Hawaii).