Wildfire parametric insurance

Pays out when satellites detect an active fire within the agreed radius of the insured site, before any damage is assessed.

Index, trigger and payout

Payout

Illustrative series. The payout is released when the index crosses the trigger agreed in the contract.

How the cover works

What is measured, and when it pays.

Risk covered: Loss from an active wildfire detected within a defined radius of the insured site.
Parametric trigger: Satellite active-fire hotspot count/FRP within buffer radius.
Payout: Predefined payout compensating the loss, sized on an 11-tier trigger scale.
Index resolution: Grid cell, daily
Data and model: Power-law fire-size distribution (Malamud et al., α≈1.3-1.75).
Typically for: Cities, public bodies & NGOs

Bought by the same clients

Next step

We back-test the index at your site over its full history and come back with indicative terms, before anything is bound.