HDI Global SE, has collaborated with Descartes to offer next-generation parametric earthquake insurance in the country.
The company received backing from HDI Enablers, HDI Global’s dedicated risk finance division and approval from the Japanese Financial Services Agency. The new initiative will offer parametric solutions for Japanese corporations facing coverage gaps from earthquake-related risk exposures. The coverage includes losses from property damage, direct and contingent business interruption, and intangible impacts and has no deductible or franchise payment requirements.
Claims will be triggered based on seismic thresholds set by the Japan Meteorological Agency’s Shindo intensity scale. Claims will be settled quickly and based on a straightforward declaration, making it easier for policyholders to recover from disruptions without delays or complex loss assessments. The policy terms are transparent, with clearly defined triggers and payout levels and is intended to simplify claims processing.
The new product will be distributed across Japan through HDI’s network of brokers and agencies.