A New Era of Catastrophe Response in North America

Tornadoes, hurricanes, wildfires, polar freezes, derechos, mudslides, earthquakes, floods. The types of weather events in North America are as varied as they are destructive. And with climate change accelerating the frequency and severity of our natural catastrophes, the days of the traditional “cat season” for North American insurers are long gone.

Given this new reality, carriers must adapt and prepare their claims organizations for near-continuous catastrophe response services to meet the increasing customer demands of the modern market. To gain a competitive advantage and compete in today’s personal and commercial lines property marketplace, carriers can no longer afford to simply ‘react’ to natural catastrophes. Insurers must develop ways to prepare, plan, and deploy their response with new technologies, creating new, more efficient ways of handling large claims volumes at any given time.

As catastrophic events in North America continue to increase in frequency and severity, the property insurance industry must evolve to respond. In a world where property insurance is increasingly price driven and commoditized, any competitive advantage, however small, may win business. In this Trend Spotlight, we talk about what claims organizations should consider to remain competitive in managing and responding to natural catastrophes in this ever-evolving space.