Guy Carpenter & Company announced that it has entered into a global, multi-year agreement with Karen Clark and Company (KCC) to license their catalogue of natural catastrophe models, execution software and analytics.
The agreement will provide Guy Carpenter’s clients with access to KCC’s contemporary suite of natural peril models, software, visualizations and scientific approaches to support decision making across a breadth of underwriting, portfolio management and risk transfer use cases. Combining Guy Carpenter’s deep expertise in model science and emerging client needs with the advanced and innovative models and open approach to catastrophe modeling offered by KCC, will better position Guy Carpenter to provide its clients with greater innovation, choice and control.
Commenting on the agreement, Rob Bentley, CEO, Strategic Advisory at Guy Carpenter, said: “Across our industry, practitioners are actively reassessing the costs, technical foundations, business utility and vendor relationships underpinning the existing cat model ecosystem, as long-held views of modeled risk are challenged. We firmly believe that at a time of industry change, our partnership with KCC represents a meaningful step-change in giving our clients choice along with experienced advisory support as they consider and embrace a different future.”
Guy Carpenter’s ability to build and benchmark client portfolios, develop proprietary custom models on the KCC platform and more deeply analyze risk using KCC’s modeling approaches, software and visualization capabilities will help the company to accelerate innovation and deliver more granular insight to its clients. The KCC models reside on the RiskInsight® platform which provides a comprehensive suite of tools in one application, including high-resolution interactive maps, real-time event tracking and custom model building.
Karen Clark, CEO of KCC, said “The KCC team is committed to innovation, transparency, accuracy, and client centricity. The KCC models produce loss estimates our clients have confidence in, and the RiskInsight modeling platform delivers unique risk metrics for deeper insights into large loss potential along with a comprehensive suite of high value applications. Over the past several years, KCC has partnered with market-leading (re)insurers who have informed this advanced modeling technology, and we’re looking forward to this new partnership with Guy Carpenter and the potential it brings to their extensive global client base.”
Peter Hearn, President and CEO of Guy Carpenter, concluded: “KCC and Guy Carpenter share the view that the (re)insurance industry is now ready for a paradigm shift in the current approach to catastrophe modeling. The partnership that we have announced today provides the platform from which we can now expedite the inevitable and desirable changes in the catastrophe modeling industry.”