Prism will model your exposure to major natural catastrophe events and terrorism attacks, highlighting where your insurance programme needs attention.

Alesco RMS has a strong track record for innovation in the analytical support we offer our clients, which is why we’ve invested in sophisticated modelling software called Prism. Prism complements our range of risk-consulting services and software tools to provide a broader analysis of your exposures and accumulations.

Prism is designed to aid larger corporate accounts with their property and casualty insurance. It offers you the opportunity to improve on the structure of your risk-transfer protection programme, while providing a more detailed audit trail of the analysis behind it. It offers a deeper understanding of your risks, and can help you to take better-informed decisions about the risk-financing options available to you.

Prism makes event-modelling more widely available

Historically, the cost of acquiring catastrophe-modelling software (in terms of set-up and annual license fees) has limited access to only those insurers and reinsurers with very large asset portfolios and premium volumes. However, we’ve been working with Prism’s developer to introduce a tool which could make a significant difference, rapidly and at a realistic level of expense, to major corporate buyers who are struggling to evaluate their exposure to a significant natural catastrophe or terrorism event in real time.

How we use Prism

  • In collaboration with our clients and risk-survey engineers, we’ve developed templates which suit larger commercial property exposures. We’ve done this because of the historical challenges of applying big data to corporate insurance programmes; for example, insured locations are now routinely ‘geocoded’ but there’s been a lack of consistency in the way the data is submitted and validated.
  • By superimposing historical event data onto our templates (such as information about event location and intensity from the past 50-60 years), we can see exactly how such events, if they were to happen again today, would impact on your current asset portfolio. We can ask, for example, ‘What would the cost impact be if the 1906 San Francisco earthquake were to happen again?’; we can also take known windstorm paths into account.
  • We can then use Prism to combine these loss-severity estimates with assumptions about future loss frequency to generate annual loss estimates and worst case scenarios
  • We can even take into account potential events outside of the historical data set; for example, business interruption and contingent business interruption have often been particularly challenging to assess.
  • Having delivered a detailed understanding of possible future losses, Prism can then investigate the cost-effectiveness of the insurance protection, and other financial products, which could mitigate your exposure.
  • We take a highly visual, geographical approach to presenting Prism’s findings; this is popular with clients, because you can see all of your locations at once.

Please get in touch

For more information on how we can help to analyse and mitigate your risks, get in touch today. Our key contacts are listed below.

View our glossary of insurance terms

Prism Risk Modelling Software Key Contacts