Asia Risk Transfer Solution (ARTS) is developing a B2B solution to deliver disaster insurance products for farmers in Asia to protect them against natural catastrophe and livelihood risks

Country: Singaporearts

Year: 2016

Concept

  • ARTS is a B2B solution that uses modern technology (i.e. parametric insurance pricing and risk software, remote monitoring sensors and portfolio management, mobile tool) that can determine remotely the loss adjustments based on the concept of Parametric Triggers. These are threshold values of quantifiable event parameters for catastrophe
  • It allows insurance companies to create parametric-trigger based insurance products that are simple to understand, affordable in pricing and transparent in payout conditions
  • Additionally, the company integrates advanced technology tools to help insurers improve their distribution, underwriting and settlement processes with minimal marginal costs.

Consumer Benefits

  • Transparent pay-out policy: since the pay-outs are based on predefined event parameters such as ground shaking intensities for earthquake, rainfall levels for agriculture, etc., pay-out amounts correspond to the intensity of the occurred event
  • Efficient loss adjustment processes: with technologies such as remote sensing, the need for on-site assessment damage is eliminated thus saving expenses for insurers and faster pay-outs to the insured
  • Wide range of distribution channels and follow-up on policies: currently with the use of mobile apps and web platforms, and shortly with insurance cards sold at convenience stores

How To Use

  • In the event of an earthquake, ARTS’ digital earthquake intensity maps will identify affected policy holders
  • The risk model then determines the earthquake intensity, and calculates claim pay-outs based on policy holder’s location, while making recommendations on premiums payable
  • Since ARTS works on a B2B model, insurance companies can partner with them to use their solutions