PCS creates historical database for Turkish cat loss estimates
Property Claim Services (PCS), a Verisk Analytics business, has launched its historical database of industry-wide catastrophe loss estimates for Turkey.
In conjunction with the Istanbul Underwriting Center (IUC), PCS Turkey delivers insured loss estimates for catastrophe and noteworthy non-catastrophe events dating back to the earthquakes of 1999.
Re/insurers can use this data to improve insurance operations, risk transfer, and other post-event management to meet the needs of customers, shareholders, and other stakeholders more effectively.
PCS Turkey provides aggregate insured loss estimates for five catastrophe events dating back to the İzmit and Düzce earthquakes of 1999 and including the two 2011 Van earthquakes and the 2009 Marmara flood.
Additionally, the service provides industry-wide insured loss estimates for three events that did not qualify as PCS-designated catastrophe events but still may be of value to the global insurance and reinsurance industry.
While the earthquake is the most frequent event type in the data-set, PCS Turkey also has a loss estimate for the 2009 Marmara flood that was designated a catastrophe event, as well as two other flood events that did not meet the TRY30 million ($10.2 million) threshold for catastrophe designation.
PCS Turkey offers support for all events that meet the catastrophe definition standard, which includes all natural and man-made perils.
“Our clients have expressed considerable interest in using PCS Turkey catastrophe loss estimates in risk transfer,” said Tom Johansmeyer, assistant vice president of PCS strategy and development.
“With the historical database now in place, we’re prepared to help our clients take the next step and complete the transactions they need to improve their risk and capital management for the region.”
Johansmeyer adds: “In Turkey, focusing on the full range of risks, rather than one peril, is the key to a successful loss aggregation platform, for both the historical database and the estimation of future losses. It’s easy to focus just on earthquake or flood, but excluding the other risks that could cause significant losses would still leave the industry exposed.
That’s why we deliver on all natural and man-made perils.”
Ted Gregory, director of PCS operations, said: “With the PCS Turkey historical database, insurers can get a better understanding of the post-event challenges they could face, from claims to actuarial. By setting the threshold for catastrophe definition at TRY30 million, we’re increasing the likelihood that insurers will get more market intelligence on a regular basis.”
Menekşe Uçaroğlu, general manager of IUC, added: “We’re proud of our collaborative effort with PCS and our most recent achievement. Having spent plenty of years in the Turkish insurance market, I can see immediately the value that disciplined, independent, and broad loss aggregation brings to the Turkish market.
“While earthquake and flood feature in the database, we’ve already been monitoring the market for both natural and man-made events that could qualify as catastrophes. And when the next event occurs, we’ll be ready to support the Turkish insurance community and its customers.”
