Yokahu launches parametric insurance exchange  

Yokahu has introduced cat-risk.com, a parametric insurance exchange for the London reinsurance market. 

It aims to facilitate real-time risk assessment, pricing and capacity allocation for parametric insurance transactions by connecting brokers, carriers and data providers.  

The exchange enables multiple carriers to co-insure risks, aligning with their “individual risk appetites”.  

As a coverholder, Yokahu manages each carrier’s portfolio, ensuring capacity is allocated according to BIPAR (European Federation of Insurance Intermediaries) principles.  

By monitoring real-time weather conditions, automating policy triggers and facilitating swift claims approval, policyholders can receive claims and payouts within 48 hours. 

Cat-risk.com has integrated data providers such as ReAsk and supports various capacity providers and brokers at the time of launch.  

The platform currently facilitates coverage for extreme weather events like hurricanes, typhoons and storms, with a limit of up to $5m (£3.85m) for each transaction.  

Yokahu has plans to expand its offerings to provide earthquake coverage, higher transaction limits and improved risk insights. 

The company was granted Lloyd’s of London coverholder status and commenced operations in November 2021, with sales starting across nine Caribbean islands in May 2022. 

Yokahu CEO and founder Tim McCosh said: “Parametric insurance has long been heralded as a solution for fast, reliable disaster payouts, but inefficiencies in placement have hindered adoption. With cat-risk.com, we are delivering on the promise of parametric insurance – removing barriers, improving accessibility, and ensuring resilience in the face of growing climate and disaster risks.” 

Yokahu co-founder Farid Tejani stated: “This is about evolution, not revolution. cat-risk.com enhances the existing parametric insurance ecosystem, making transactions smoother, data integration stronger and payouts faster. We believe this will help unlock the full potential of parametric insurance for businesses, governments and communities worldwide.”