Experts predict that this type of policy will becoming increasingly necessary, particularly for disaster scenarios.
Paramedic insurance coverage is a growing industry and experts predict that this growth will only continue to head upward. This includes in cases of U.S. disasters.
In fact, the extreme weather events have been among the driving forces in insurance policies for paramedics.
The many different extreme weather events and natural disasters in the United States this year have led to a rising interest in paramedic insurance. That type of coverage has already seen growth over the last few years, but the hurricanes, tropical storms, forest fires and other natural catastrophes that have struck the U.S. this year have given the product an even greater shot in the arm.
This insurance product is also becoming more commonplace with improvements made to hazard modeling. Also contributing are the more accurate weather stations in terms of measuring and predicting wind speeds, as well as satellite imagery with finer precision regarding flood damage extent details.
Some see paramedic insurance as playing an integral role in future flood, business interruption and other coverages.
Paramedic coverage provides protection against a certain specific form of event, such as a hurricane with certain minimum wind speeds or an earthquake with a certain minimum magnitude. A policyholder can make a claim and receive a payment in the case that the disastrous event reaches the minimum parameters. The payment made is based on an amount agreed upon within the policy before the event actually occurs. That way, no claims adjustment is required to process a claim following a catastrophe.
According to AXA Corporate, a multinational insurance company, its paramedic coverage department “uses new types of information and big data processing methods to build custom-made insurance covers against unexpected weather events.”
RMS Capital Market Solutions director, Stephen Moss, explained that the growing interest surrounding paramedic insurance is mainly to do with large scale commercial contracts. “These structures work well where there are relatively highly concentrated assets in the regions of high and specific risk,” explained Moss. He also pointed out that the risks targeted by this product are usually specialty coverages.