IQUW partners with Temblor for real-time seismic hazard insights

30 Sep 2021 by Jonathan Watson

Property, Commercial and Speciality (re)insurer IQUW has today announced a partnership with Californian based catastrophe modelling company Temblor. The partnership will provide IQUW with globally consistent, real-time seismic risk data to inform its insurance pricing decisions. Additionally, that partnership will allow IQUW to solve issues other insurers face when modelling the future impact of a seismic hazard:

Machine learned modelling, designed for insurance: The insurance industry uses adapted 30-year old models, built by the nuclear power and engineering industries, to gauge the seismic hazard over the 100-year life of a building. As insurers insure for the next year, or in the case of a cat bond, up to 5 years, these models are no longer fit for purpose. Temblor gives IQUW the ability to make real-time pricing decisions by providing machine learned data including newly available GPS-derived strain rates that enable both short and long-term earthquake forecasts.

Global consistency and uniformity: Most seismic modelling is specific to local countries or governments. With no uniformity, it is difficult for insurers to make informed pricing and relative underwriting decisions. Temblor’s model is continuous with no borders or boundaries an provides IQUW with a single baseline to assess any risk - from Tokyo to Santiago, Los Angeles to Tel Aviv - the model even provides insights into low seismic areas where data is scarce. Temblor gives IQUW the capability to cut through local barriers and inconsistent data points by providing a global view that can be applied locally.

Dr Ross Stein, Temblor Cofounder and CEO commented: “A growing number of insurance companies use Temblor’s models to assess seismic hazard risks - IQUW is developing cutting-edge technology capabilities to inform their decisions and I am delighted they have selected Temblor to help inform their underwriting and pricing decisions”.

Dr Federico Waisman, Head of Underwriting Management at IQUW added: “I am pleased to partner with Temblor. Throughout my career I have been frustrated by the lack of data and high-quality modelling available to pricing and underwriters that support seismic risk decisions. Capabilities have been blunted by lack of real-time data, out-dated models, regional inconsistencies and government study biases that vendors fail to remove. By working with Temblor, IQUW can combine unique, machine learned data insights with human expertise to make fast, accurate decisions for our brokers and clients”