Verisk’s PCS launches new global aviation loss platform citing ‘significant’ demand
Property Claim Services (PCS), a Verisk business, is expanding its specialty loss lines reporting platform to include worldwide aviation insured loss events.
The new PCS Global Aviation will focus on events with estimated industrywide insured losses of at least $50 million, and also include loss estimates for general aviation events where readily available.
PCS said the launch comes following “significant market demand” for an independent solution of industrywide insured loss estimates for this class of business.
“Market players from Bermuda, London, and other key re/insurance jurisdictions approached PCS with offers of support to help develop and finalise this important collection of aviation sector data – which includes industrywide insured losses with breakdowns by class of business, as well as flight numbers, tail numbers, departure and arrival airports, and age of the aircraft,” said the company.
PCS first expanded into specialty lines in 2017 with the launch of PCS Global Marine and Energy. Since then, the company has expanded its loss aggregation to include cyber, terror and large loss.
The firm hopes its latest move will support a wide range of re/insurance risk and capital management activities in the global specialty lines space, to include alternative risk transfer.
Alex Mican, senior PCS product development director, explained: “The value of a historical database, especially in the aviation sector is irrefutable. Risk transfer today requires reference events from the past, and our clients are committed to helping us deliver a robust data set with more than four decades of losses. Through continual feedback and market collaboration in developing PCS Global Aviation, we reduced the uncertainty that usually comes with new product adoption and put credible estimates in front of our clients.”
Tom Johansmeyer (pictured), head of PCS, added: “Independent industrywide insured loss estimates are crucial to the basic operations of the re/insurance industry. And as we can increase granularity, we’re able to help our clients solve more problems. Throughout the development process, we saw that basic understanding of worldwide aviation insured losses was patchy and inconsistent, which inevitably causes pricing inefficiency and imprecise risk transfer.”
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