UK insurtech Previsco launches live flood solution in US
The UK insurtech Previsico has announced the launch of its cutting-edge live forecasting alert services in the US market.
The startup has partnered with Nexus Alpha USA to mitigate surface flood losses in one of the world’s most affected markets.
Previsico, which was launched in 2019, based its solution on 20 years of academic research and is now supporting brokers, insurers Liberty and Zurich, and their clients, with ‘live actionable flood warnings’ for surface water flooding to mitigate losses.
The flood forecasting solution brings together IoT sensors, the latest weather data from IBM’s Weather Company, and advanced flood modeling capabilities to address the increasing issue of surface water flooding for insurers, their major corporate clients, and customers.
Previsico also works with Lloyd’s Lab, with underwriters agreeing that Previsico’s warnings can mitigate 70% or more of commercial loss for businesses with a flood plan and resilience measures.
Surface flood risks in the US
Reports show that currently, half of all US economic losses from floods are due to pluvial flooding. At the same time, current flash flood warnings lack actionable data, as they cover large geographies. These generate many false alarms with a resultant lack of action.
Furthermore, a threefold increase in damage to commercial property from climate-related risk is now predicted by risk analysts XDI 1000 by 2050.
Nexus Alpha USA is a hub for innovation in the US and is an established agent that sells products and services across a variety of sectors, acting as a hub for international innovation in the North and South American markets. The insured also has vast Private and Public sector experience across multiple markets including over decades of experience in transportation, resiliency, renewable energy, and international trade.
Previsico US rollout of live flood forecasting
According to reports, Previsico’s initial focus will be on New York, which has experienced serious flood issues and losses over the years, including last year, when a state of emergency was declared after it was hit by record rainfall and deadly flash floods as a result of Tropical Storm Ida.
The insurtech will also tackle other states, such as Nevada, where Las Vegas recently suffered multiple and lethal flash flooding, as demand for the solution increases.
Speaking about the latest moves, Jonathan Jackson, Previsico’s CEO, explained, “Our move into the US market demonstrates our determination to continuously improve and extend our unique flood forecasting service. Working in partnership with the US insurance market, we will be able to save people, properties, and businesses from the devastating impacts of flooding by mitigating its impact, particularly the effects of surface water.”
Sam Hollis, Co-founder, and CEO of Nexus Alpha USA said the company works with many innovative businesses and that Previsico offers a unique solution. “Previsico’s system offers 48-hour forecasts every three hours at specific location levels. As soon as the system identifies a location that is at risk of surface water flooding, warnings are sent out.
He added, “This gives insurers the ability to alert customers of immediate risks to their properties, so they can move valuables to higher ground or set up temporary flood defenses in the case of an imminent flood – a win-win for insurers and their customers.”