Guy Carpenter has launched a Wildfire Risk Score to help European clients manage their exposure to the evolving risk of wildfire.
As a business of Marsh McLennan, the global risk and reinsurance specialist’s new product allows clients to calculate two scores for properties at risk across Europe and risk to forestry in the Nordic region, respectively.
Risk scores are instantaneously generated for all properties in a client’s European portfolio, ranging from ‘very low’ to ‘extreme’.
These scores are then utilised to assess portfolio exposure levels and prospective wildfire accumulation risks, as well as shape underwriting decisions at an individual risk level.
Clients can also apply several climate change scenarios to modify the risk scores, based on variations ranging from the current climate to an increase of 3.0 degrees centigrade.
Wildfire Risk Score is available through Guy Carpenter’s global risk analysis and visualisation platform, GC AdvantagePoint, and can be integrated into a company’s existing systems via API.
This follows the model approach successfully deployed by Guy Carpenter in the US, adding another peril geography to the firm’s climate advisory offerings.
Jessica Turner, managing director, catastrophe advisory, Guy Carpenter, explains: “The evolving threat posed by wildfire across Europe requires companies to adopt a data-driven approach to adequately assess their current and future exposures.”
“This ground-breaking European Wildfire Risk Score will allow our clients to gain a more accurate understanding of both current risk and in a warmer world. The launch forms part of Guy Carpenter’s wider goal of supporting better underwriting and enhancing our industry’s resilience to a rapidly changing climate.”
