Reducing Earnings Risk with Modeled Loss Parametric Cover | The Demex Group | Ep. 365
How do you build reinsurer confidence in a volatile weather market? In this episode, Matthew Grant speaks with Matt Coleman, Chief Risk Officer at The Demex Group, about designing parametric cover that truly reflects cedents’ earnings risk.Matt explains how Demex’s RCR Re solution uses a modelled loss index, not sensors, to trigger payouts, delivering early recoveries in a record-breaking year for severe convective storms. They also discuss how access to ground-up claims data strengthens validation and why broker engagement has been key to scaling.Topics include:
- Why 2025 has seen above-average tornado and hail activity
- How Demex’s cover mimics indemnity and reduces basis risk
- What reinsurers want in secondary peril protection
- The role of brokers in market adoption
- Lessons from building a product that solves a real market problem
Plus, insights into carrier data sharing and what makes parametric products more viable today.👉 Listen on your preferred podcast platform: https://www.instech.co/knowledge-cent...📌 Subscribe for more episodes:
/ @instechofficial 🌐 Learn more about Cotality: https://www.thedemexgroup.com/🔍 Explore the InsTech podcast archive: https://www.instech.co/item-type/podc...----------------If you like what you’re hearing, please leave us a review on whichever platform you use or contact Matthew Grant on LinkedIn -
/ matthewjggrant You can also contact Matt Coleman on LinkedIn to start a conversation
