Skip to main content

Best of both: Bundling parametric with indemnity insurance

Sponsored by ?

This resource was paid for by a contributing third party.

Parametric insurance is often bought as a complement to indemnity insurance, but hybrid products combining parametric and indemnity insurance in the same policy launched in 2022. These hybrid products, which represent a big shift in how parametric insurance is being sold, will be judged on uptake and effectiveness in paying out claims. Their performance will reveal how these approaches compare and determine whether hybrid parametric-indemnity insurance becomes a trend.

This article focuses on the advantages of bundling parametric and indemnity insurance into the same policy.

Topics covered:
• A background to parametric insurance.
• Indemnity insurance vs parametric insurance.
• Four ways in which parametric insurance can be structured as a complement to indemnity insurance.
• The benefits of combining parametric with indemnity for commercial insurance.
• Examples of hybrid policies.
• Parametric triggers in personal lines insurance.
• Considerations for insurers and MGAs.

Access the article

Register for free access to hundreds of resources.

Already registered? Sign in here.

 

Your alert preferences

More related resources

Building an autonomous insurance platform: the future that's already here

Most insurers operate fragmented architecture built over decades for claims, policy management, billing and underwriting. This blog highlights the true cost of operating siloed systems and how technology leaders can close the gap with a single, reusable AI layer that sits on top of core systems.

The changing face of insurance fraud

The motivations to commit fraud remain largely unchanged, but the tools available to fraudsters are becoming more powerful by the month. This content focuses on the changing face of fraud, based on the key findings from Insurance Post’s latest fraud prevention survey, in association with CRIF.

Infographic: The UK’s rebuild cost gap is changing

In 2026, just 8% of UK properties are insured for the right amount. Based on data from 46,917 rebuild cost assessments completed, this infographic sheds light on the accuracy of building sums insured for residential and commercial properties, plus the top ten most underinsured property types.

Your P&C personalisation problem isn't a data problem

The personalisation gap in P&C insurance is real. But at its core it isn’t a data problem or a technology problem - it’s an operating system problem. This blog highlights how insurers can enhance personalisation by addressing the decision gap between pricing, underwriting, and claims signals.

You need to sign in to use this feature. If you don’t have an Insurance Post account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here