NEW YORK – June 25, 2025: Descartes Underwriting, world leader in corporate parametric insurance solutions for climate and emerging risks, today announces the launch of a new innovative parametric flood insurance for US commercial customers. Descartes’ fully customizable Flood-at-Location policy, backed by extensive research in flood modeling and advanced sensor systems, upends the traditional approach to flood insurance to deliver better protection for businesses, investors, and homeowners associations.
The product covers any economic losses resulting from fluvial, pluvial and coastal flooding. The flood depth is measured precisely by on-site sensors, in real-time, at a client’s location(s). The claim is then assessed based on the flood depth data and the client’s bespoke payout structure, facilitating almost immediate indemnification without the need for adjusters or investigations. Limits of up to $70 million are available. Payment is usually received by the insured within days.
Coverage is offered for one or more locations, and with flexible durations to match project lengths or client preferences, including multiple years. Additionally, any type of business and industry class may be covered. Any economic loss sustained is insured, including property damage, business interruption, and extra expenses. No direct physical damage is required to trigger a payout. That means, for example, the flooding of a service road which prevents customer access is now an insurable risk. Most importantly, companies with high historical flood losses–oftentimes facing the toughest renewal conditions–gain access to a customized, stable insurance solution.
Policies are available in the surplus lines market in all 50 states.
Flood is often excluded or sub-limited in regular property policies and therefore may require a stand-alone flood coverage. Flood-at-Location from Descartes is a superb supplement to Property All Risks insurance. It provides coverage for risks which the National Flood Insurance Program (NFIP) excludes (such as docks, piers, etc.) and can be designed to respond in excess of NFIP’s $500,000 limit, with a cost-efficient structure.
Daniel Vetter, Head of Americas for Descartes, said: “This responsive and remarkable new product delivers unparalleled, flexible flood coverage for commercial properties. For all the reasons that conventional insurance for flood is sometimes unsatisfactory–slow claims payments, exclusions, sub-limits, or a lack of availability–this parametric product will fill the existing gap we’re seeing in the market.”
Kevin Dedieu, Co-founder and Chief Scientific Officer of Descartes, said: This market-leading coverage follows intensive research and development conducted by Descartes in- house and with our technology partners. We developed this product because our brokers shared with us that commercial flood products available at the time did not meet their clients’ needs. We utilized our scientific approach to create this new, highly responsive product which leaves no gaps uninsured.”
